10/01/2014 12:24 EDT | Updated 12/01/2014 05:59 EST

TransCanada Corp. sells stake in Bison Pipeline for US$215 million

CALGARY - TransCanada Corp. (TSX:TRP) said Wednesday it has signed a deal to sell its remaining 30 per cent stake in Bison Pipeline LLC to its master limited partnership, TC PipeLines LP, for US$215 million.

The pipeline company holds a 28 per cent interest in TC PipeLines LP, which owns U.S. natural gas pipelines and related assets.

Through the sale of the operations to the partnership, TransCanada is able to raise cash to fund its own capital spending.

"The Bison transaction advances our previously stated commitment to sell the remainder of TransCanada's U.S. natural gas pipeline assets to the partnership," TransCanada president and chief executive Russ Girling said in a statement.

"As TransCanada continues to progress our unprecedented $38 billion capital program, we intend to drop down the remainder of those assets on a more sizable, frequent basis over the coming quarters and years."

Bison is a 487-kilometre natural gas pipeline in the U.S. Rocky Mountains.