Acquisition of Columbia Pipeline Group, Inc. March 17, 2016
Transaction Highlights Purchase Price TransCanada to acquire Columbia Pipeline Group, Inc. (CPGX or Columbia) for US25.50 per CPGX share in an all-cash deal Represents an 11 per cent premium to the closing price of Columbia shares on…
Transaction Highlights continued Financing Plan Concurrent 4.2 billion subscription receipts bought deal to fund, in part, the purchase price Holders of subscription receipts will be entitled to dividend equivalent payments in respect…
Strategic Rationale Columbia Gas Transmission Columbia Gulf Transmission Premium natural gas pipeline and Millennium Pipeline (47.5%) storage assets Marcellus/Utica Basins Extensive position in the Marcellus and Utica shale…
Columbia Pipeline Group Asset Overview Columbia Gas Transmission Columbia Gas Transmission Columbia Gulf Transmission 11,272 mile (18,141 km) FERC pipeline with Millennium Pipeline (47.5%) 286 Bcf of working gas storage capacity and…
Natural Gas Pipeline Footprint Creates one of North Americas largest regulated natural gas transmission businesses 91,000 km (56,900 miles) of gas pipeline 664 Bcf of storage capacity Complements our existing regulated natural…
Predictability and Stability of EBITDA TransCanada Pro Forma 2015 Adjusted 2015 Adjusted EBITDA* EBITDA*,** Merchant Merchant Energy Energy 10% 8% Contracted Contracted Energy Energy 11% 10% Regulated & Contracted Gas…
Positioned to Capture Growing Marcellus and Utica Production Bcf/d 35 30 25 20 15 10 5 Columbia Gas Transmission Columbia Gulf Transmission 0 Millennium Pipeline (47.5%) 2010 2015 2020E Marcellus/Utica Basins Marcellus Utica…
Columbia Pipeline Group Capital Program Estimated Project Gas Flow Direction Capital Cost Expected Asset Project (US)* FERC Status In-Service and Capacity from the Marcellus/Utica Modernization I 0.6 Approved 2017 2018…
Industry Leading Pro Forma Capital Program Estimated Capital Expected Northern Courier Project Cost* In-Service Date* NGTL System Columbia Pipeline Group US7.3 2016-2021 Grand Rapids Phase I Expansions Houston Lateral & Terminal…
Strategic Portfolio Management Selling U.S. Northeast Power Assets Advisors engaged Process underway Monetization of Minority Interest in Mexican Natural Gas Pipeline Business Advisor selection underway Indications of interest…
Financial Highlights Expected to be accretive to earnings per share in the first full year of ownership and thereafter as the combined 23 billion of near-term commercially secured projects enter service Increases 2015 Pro Forma…
Key Takeaways Acquisition creates one of North Americas largest regulated natural gas transmission businesses Complements our existing assets Adds to basin diversification and access to large markets Provides another platform…