Teekay Corporation to sell remaining interests in Teekay Offshore

Source: press release, 29 April 2019

photo: Teekay Group
photo: Teekay Group

Teekay Corporation has announced an agreement to sell to Brookfield Business Partners L.P., together with its institutional partners, all of the company’s remaining interests in Teekay Offshore Partners L.P., which includes the company’s 49% general partner interest, common units, warrants, and an outstanding USD 25 million loan from the company to Teekay Offshore, for total proceeds of USD 100 million in cash.

The transaction is expected to be completed in early to mid-May 2019.

“The divestment of our remaining interests in Teekay Offshore is aligned with Teekay’s current strategy to simplify and focus on our core gas and tanker businesses,” comments Kenneth Hvid, Teekay’s President and Chief Executive Officer. “The proceeds from this transaction allow us to further strengthen Teekay Corporation’s balance sheet and credit profile, while significantly enhancing our near-term financial flexibility and range of options to address our near-term bond maturity.”