CenterPoint Energy and Vectren have completed their merger to form a new company with an enterprise value of $27bn.
Headquartered in Houston, US, the combined company is called CenterPoint Energy. It has regulated electric and natural gas utility businesses in eight states and assets totalling $29bn.
CenterPoint Energy president and CEO Scott Prochazka said: “Today, we come together as one company. With a greater level of business operations, resources and capabilities, we plan to execute a unified business strategy focused on the safe and reliable delivery of electricity, natural gas and energy-related services.
“It is a time of transformation for our industry, and I believe CenterPoint Energy will be well-positioned to deliver traditional energy services with innovative solutions that meet customers’ evolving needs and expectations.”
The company owns and operates nearly 1,300MW of power generation capacity in Indiana.
Under the agreement announced in April last year, Vectren shareholders will receive $72 for each unit plus a prorated dividend of $0.41145 in cash for each Vectren common stock share owned as of the close of business on 1 February 2019.
Vectren outgoing chairman, president and CEO Carl Chapman said: “I look forward to watching the newly combined company thrive in this evolving industry.
“CenterPoint Energy was the right partner for Vectren and I am confident this merger will have a positive impact on all stakeholders. I sincerely thank the employees and shareholders who have been part of the Vectren journey.”