Texas Utility Buys Vectren
(EVANSVILLE, Ind.) - One of Indiana's biggest gas companies is getting a new owner.
Houston-based CenterPoint is buying Vectren for about $6 billion. The merger will create a $29 billion gas and electric utility with service to eight states.
Vectren serves a million gas customers in Indiana and Ohio, and supplies electricity to another 145,000 Hoosiers in southwest Indiana. The utility's gas service territory covers two-thirds of Indiana, from Huntington to its home base in Evansville.
Gerry Dick with Inside Indiana Business says the merger is unlikely to affect your gas bill. But he says the downgrade of Vectren's Evansville headquarters to a divisional office is a blow to the city and the state. He says Evansville has benefited from the company's commitment to community leadership.
The merger includes a $15 million donation from CenterPoint to the Vectren Foundation over the next five years. The foundation will remain headquartered in Evansville.
CenterPoint will pay $72 a share for Vectren. That's a nearly 10% premium over Friday's closing price.
The merger still needs approval from federal regulators and Vectren shareholders -- that's expected to take about a year.t's expected to take about a year.
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