Denendeh Investments takes half ownership of Northland Utilities
Dene-owned corporation nearly triples its stake in power distributor from 14% to 50%
Denendeh Investments Corporation is significantly upping its stake in the company that buys power from the Northwest Territories Power Corporation and redistributes it to Yellowknife and eight other N.W.T. communities.
The Dene-owned corporation announced the signing of an agreement Wednesday with logistics and energy juggernaut ATCO. The deal will more than triple Denendeh's stake in the company to 50 per cent from 14 per cent. ATCO will own the other half of the company.
"I think it is excellent for the aboriginal people of the North," said Darrell Beaulieu, president of Denendeh. "It's expanding our participation in the northern economy."
ATCO President and CEO Nancy Southern says the equalization scheme has been in the works for years.
Denendeh will purchase the additional 36 per cent stake from ATCO with a mix of cash and new debt. The exact amount was not disclosed.
Northland distributes power to Yellowknife, N’Dilo, Hay River, the K’atlodeeche reserve near Hay River, Trout Lake, Kakisa, Fort Providence, Wekweeti and Enterprise.
- A previous version of this story erroneously said Denendeh's stake will nearly be tripled. In fact, it will more than triple.Mar 19, 2015 2:45 PM CT