CALGARY, Alberta, June 17 (UPI) -- TransCanada sold more than 50 million common shares at $27.67 each to help fund capital projects and the acquisition of the Keystone pipeline in North America.
The company, the largest gas transit company in Canada, sold 50.8 million common shares to raise around $1.4 billion, the company said.
A consortium of underwriters -- RBC Capital Markets, BMO Capital Markets and TD Securities -- led the common stock purchase, holding an option to purchase an addition 7.62 million in shares at the same price for future potential revenue.
"The net proceeds of the offering will be used by TransCanada to partially fund capital projects of the corporation, including the acquisition of an additional interest in the Keystone pipeline system, for general corporate purposes and to repay short-term indebtedness," the company said.
TransCanada acquired the $12 million Keystone oil pipeline through a $50 million acquisition from ConocoPhillips.
Keystone will transit from Alberta, Canada, to U.S. markets in the Midwest and the Gulf Coast to deliver as much as 1.5 million barrels of oil per day by 2012.
