Canadian Utilities Ltd. and Quanta Services Inc. wrapped the sale of Alberta PowerLine LP to seven indigenous communities and a consortium of investors.
Previously, Alberta PowerLine, or APL, was owned 80% by Canadian Utilities and 20% by Quanta Services. Canadian Utilities, a subsidiary of ATCO Ltd., will receive proceeds of about C$220 million for its interest in APL.
APL owns and operates the 500-kV Fort McMurray West transmission project, which connects the oil sands region of Fort McMurray with generators and the main power grid near Alberta's capital city, Edmonton.
The seven indigenous communities that now own a 40% stake in APL are the Athabasca Chipewyan First Nation; Bigstone Cree Nation; Gunn Métis Local 55; Mikisew Cree First Nation by way of its business arm, the Mikisew Group of Companies; Paul First Nation; Sawridge First Nation; and Sucker Creek First Nation.
The remaining 60% was acquired by a consortium of investors including TD Asset Management Inc., for and on behalf of TD Greystone Asset Management Inc.; and IST3 Investment Foundation acting on behalf of its investment group IST3 Infrastruktur Global, a Swiss pension fund.
Canadian Utilities will remain as the operator of APL over its 35-year contract with the Alberta Electric System Operator.
RBC Capital Markets acted as financial adviser to Canadian Utilities and Quanta.