NiSource, CPG close on $3.5 billion combined credit capacity

By Tali Rackner

Norfolk, Va., Dec. 5 – NiSource Finance Corp. and NiSource Inc. closed on a combined $3.5 billion of revolving credit capacity in three-, five-year facilities, according to a press release.

The majority of the capacity, $1.5 billion each at NiSource and Columbia Pipeline Group, Inc., will become effective following the proposed separation of NiSource’s natural gas pipeline business into a standalone publicly traded company.

The post-separation NiSource facility will amend and replace the company’s existing $2 billion revolving credit agreement.

Each $1.5 billion five-year facility has a maximum of $250 million available in the form of standby letters of credit.

Borrowings under both facilities will bear interest at the one-week or one-, two-, three- or six-month Libor rate plus an applicable margin

Proceeds will be used for working capital and other general corporate purposes.

The $500 million facility at Columbia Pipeline Partners LP will become effective if and when the partnership completes its proposed initial public offering of common units.

NiSource is an energy holding company is based in Merrillville, Ind.

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