TransCanada Corp. (NYSE: TRP) reported July 27 a slightly higher-than-expected quarterly profit, and said the process of seeking buyers for a sale of some assets in the U.S. and Mexico was underway.
The company completed the $10.3 billion acquisition of Columbia Pipeline Group on July 1, creating one of North America's largest natural gas transmission businesses.
TransCanada, Canada's second-largest pipeline company, is planning to secure permanent financing for the deal by selling its U.S. Northeast merchant power assets and a minority interest in its Mexican natural gas pipeline business.
RELATED: Moving On: TransCanada Buys Columbia Pipeline In $13 Billion Merger
The pipeline company said on July 28 that the process of engaging advisers has been completed for these asset sales, and that it was in the initial stages of soliciting interested parties.
Proceeds from these sales will be used to retire debt under the bridge term loan credit facilities used to pay for the Columbia Pipeline deal.
The company said it expects to provide an update on the sale process by the year-end.
TransCanada formally requested arbitration in June over U.S. President Barack Obama's rejection of the Keystone XL pipeline, seeking $15 billion in damages.
RELATED: TransCanada Claims Politics Killed Keystone XL In NAFTA Filing
Net income attributable to the company's common shares fell to C$365 million (US$277.4 million), or 52 Canadian cents per share, in the second quarter ended June 30 from C$429 million, or 60 Canadian cents per share, a year earlier.
Analysts on average had expected earnings of 51 Canadian cents per share, according to Thomson Reuters.
The Calgary, Alberta-based company's revenue rose 4.6% to C$2.75 billion. (US$1 = 1.32 Canadian dollars)
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