The Globe and Mail reports in its Wednesday, Sept. 2, edition that National Bank Financial analyst Baltej Sidhu is sticking with his "outperform" call and $7 share target for Algonquin Power & Utilities (all figures U.S.). The Globe's David Leeder writes in the Eye On Equities column that analysts on average target the shares at $6.72. Mr. Sidhu views Algonquin's $126.5-million sale of its 64-per-cent interest in Chilean utility Suralis positively, as it monetizes a non-core asset, simplifies the portfolio and, improves the balance sheet ahead of the company's redomicile and headquarters move to Chicago. Mr. Sidhu says in a note: "The transaction implies a 100-per-cent equity value of approximately $200-million, and including $215-million of Suralis debt, we estimate transaction metrics reflecting 9.5 to 10 times EV/EBITDA and more than two times P/TBV, broadly in line with water-utility transactions. Assuming the full $126.5-million of proceeds is applied to debt, consolidated gross debt should decline by $340-million, or 5 per cent, improving credit metrics, funding capacity and in turn, accruing value to shareholders. Importantly, our 2027 estimated adj. EPS remains at 42 cents/sh, making the transaction neutral."