French energy conglomerate Engie SA is teaming up with a Canadian pension fund to offer as much as $9 billion for a Petróleo Brasileiro SA - Petrobras-owned natural gas pipeline network in northeastern Brazil, Bloomberg reported Oct. 12, citing people familiar with the matter.

The sources said Engie and Caisse de dépôt et placement du Québec are already finalizing the terms of the deal with Petrobras. The pipeline network is held by Transportadora Associada de Gás SA, a subsidiary of Petrobras. The Brazilian oil company is also looking to negotiate with other groups for other bids that would meet terms it reaches with Engie, according to the report.

The latest bid would be $1 billion more than Engie's previous offer, according to Bloomberg. Petrobras is divesting billions of dollars in assets in an effort to pay down debt.