The Missouri Public Service Commission yesterday approved Oakville, Ontario-based Algonquin Power & Utilities Corp.’s (TSX: AQN) buyout of Joplin’s Empire District Electric Co. (NYSE: EDE).
Through the $2.4 billion deal expected to close in first-quarter 2017, Empire District would become a subsidiary of Liberty Utilities Co., Algonquin’s U.S. utility operation. The acquisition was
announced in February.
In approving the deal, PSC officials said “the transaction is not detrimental to the public and should be authorized.” The PSC regulates investor-owned electric, natural gas, steam, water and sewer utilities in the Show-Me State.
Empire District spokeswoman Julie Maus said the deal still requires approval from the Arkansas and Kansas public service commissions. Empire District shareholders supported the buyout in June with a 95.5 percent approval rate.
Maus said the agreement with Algonquin stipulates Empire District branding would remain intact for at least five years following the closure. A branding transition plan after that point has not yet been established.
Empire District serves roughly 150,300 electric customers and 4,500 water customers in Missouri, including in Greene County.
EDE shares were trading at $34 as of 11:11 a.m., near a 52-week high of $34.10 set Aug. 29. Its 52-week low is $20.98.
