TC Energy To Appeal Delaware Court Rulings In 2016 Columbia Pipeline Acquisition Suit

(RTTNews) - TC Energy Corp. (TRP,TRP.TO) said Wednesday that it strongly disagrees with the final decision issued today by the Delaware Chancery Court allocating liability for earlier determined damages in an ongoing class action lawsuit related to TC Energy's 2016 acquisition of Columbia Pipeline Group Inc. TC Energy will appeal the Court's decision and anticipates that the appeal will proceed through 2024 and conclude by mid-2025.

The Court previously held, in a decision issued in June 2023, that the former CEO and CFO of Columbia Pipeline Group breached their fiduciary duties to Columbia Pipeline Group stockholders and that TC Energy aided and abetted those breaches. TC Energy believes the Court made material errors of fact and law in its decisions and will appeal the determinations to the Delaware Supreme Court, TC Energy said in a statement.

In its May 15, 2024 decision, the Court awarded the Columbia Pipeline Group stockholders damages of US$398.4 million and has allocated responsibility for that award in the amount of 50 per cent to the former Columbia Pipeline Group CEO and CFO, collectively, and 50 per cent to TC Energy.

TC Energy said it continues to disagree with many of the Court's findings and believes the Court's ruling departs from established Delaware law. TC Energy's allocated share of the damages is US$199.2 million, plus an estimated US$179.5 million in pre- and post-judgment interest.