Centrica Sells Stake in Canadian Joint-Venture for GBP240 Million

By Tapan Panchal Features Dow Jones Newswires

British utility company Centrica PLC (CNA.LN) said Friday it has agreed to sell its 60% stake in its Canadian exploration and production joint venture for around 240 million pounds ($310.75 million).

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The company has signed an agreement to sell the CQ Energy Canada Partnership to a consortium comprising MIE Holdings Corp. (1555.HK), Can-China Global Resource Fund and Mercuria for 722 million Canadian dollars ($534,466,000) in cash.

Centrica intends to use the proceeds from the sale to reduce debt, in line with its target to achieve net debt in the GBP2.5 billion to GBP3 billion range by the end of 2017.

The sale is expected to close in the second half of 2017.

-Write to Tapan Panchal at tapan.panchal@wsj.com

(END) Dow Jones Newswires

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June 09, 2017 02:36 ET (06:36 GMT)