TC Energy-sells assets worth 5 billion
2022.12.02 06:16
TC Energy-sells assets worth 5 billion
Budrigannews.com – TC Energy (USA): Analysts, investors say that the North American pipeline operator has many options to sell assets of $5 billion, $3.7 billion next year.
When he asked last week what part of his portfolio was displayed in the window of the shopping center, the performer Francois Puirier clarified all the confusion. Poiret recently told the investor: “I remember once reading the book “Sacred cats make the best dish.” “
“The Keystone pipeline is a vital route for the delivery of oil to Canadian and American refineries, located in Calgary (Alberta) – very well known.”
Over the past decades, headlines have focused on expansions that ultimately proved unsuccessful. However, most of TC’s business consists of trips to the United States, Canada, Mexico.
“Rob Tummel, senior portfolio manager at Tortoise CapitalAdvisors, a TC shareholder, said that TC should think about renting Keystone and a share of the Bruce Power nuclear facility, which is not its main business.” “Trying to figure out a strategy – they want whether to be utility companies, but rather to play in infrastructure,” Tummel said, – You can study the concept of switching to energy resources or selling, as well as implementing a non-core product return program.” CIBC analyst Robert Catelier believes that Keystone is capable of bringing $12.8 billion to Canadians.
After that, he said that reducing the impact of oil could help the shopping center achieve its goals to reduce oil emissions. Brandon Timer, equity analyst at First Avenue Adviser, owner of TC, says that buying Keystone, as well as other TC oil pipelines, makes sense because other companies dominate the liquid market than TC.
“I believe that some of the proposals will be approved by the market” In order for investors to believe in a company whose shares lag behind those of its competitor Enbridge NYSE – TC measures are needed to reduce debts and finance projects, including the problematic Coastal GasLink pipeline in the UK. Company.
According to RBC analyst Robert Kwan, the sales will reassure the market that the shopping center should not issue ordinary shares to raise funds due to cost overruns of Coastal, as well as an agreement in August on the construction of a pipeline with Mexico worth $ 4.5 billion.
On Thursday, Enbridge shares increased by almost 12, and TC shares increased by less than 1.
According to Robert Hope, an analyst at Scotiabank, the TC’s share in the Milenium Natural Gas pipeline in New York is another logical candidate for sale and can bring $ 1 billion. Hope said small wells from Alberta, such as Grand Rapids or White Spruce, could also be put up for sale.
Although TC is currently on sale, it is not going to decline. In order for TC to acquire an additional asset, which it expects to be available next year, Poirier stated the need to reduce debt by less than 5 times than in the company’s EBITDA.
“The company’s highest priority in 2023 is to accelerate deleveraging, because we see that in the coming years there will be some opportunities for opportunization in mergers and acquisitions.” “If you haven’t made some kind of pillow, you won’t be able to do it.”
