Shareholders of US renewables and grid giant Avangrid approve $2.5bn buyout by parent Iberdrola
Avangrid, a leading US-based energy company, has announced that its shareholders have approved the acquisition of the company by its parent company, Iberdrola, for a total consideration of $2.5 billion. The acquisition is seen as a strategic move by Iberdrola to strengthen its presence in the US renewable energy market.
Under the terms of the deal, Iberdrola will acquire all of the outstanding shares of Avangrid, including those held by its minority shareholders. The acquisition is expected to be completed in the second half of 2023, subject to customary closing conditions.
The acquisition is expected to bring significant benefits to both Avangrid and Iberdrola. For Avangrid, the acquisition will provide access to Iberdrola’s global resources and expertise, enabling the company to expand its operations and invest in new renewable energy projects.
For Iberdrola, the acquisition will strengthen its position in the US renewable energy market and provide a platform for growth in the region. The acquisition will also enable Iberdrola to expand its portfolio of renewable energy projects and reduce its carbon emissions.
The acquisition is subject to regulatory approvals from various authorities, including the US Federal Energy Regulatory Commission (FERC) and the New York State Public Service Commission (PSC).
The acquisition has received strong support from Avangrid’s shareholders, with over 90% of the votes cast in favor of the deal. The acquisition is expected to be completed in the second half of 2023, subject to customary closing conditions.
The acquisition of Avangrid by Iberdrola is a significant development in the US renewable energy market. The deal is expected to bring significant benefits to both companies, including access to global resources and expertise, and the ability to expand operations and invest in new renewable energy projects.
Q: What is the value of the acquisition?
A: The acquisition is valued at $2.5 billion.
Q: What is the expected closing date of the acquisition?
A: The acquisition is expected to be completed in the second half of 2023, subject to customary closing conditions.
Q: What are the benefits of the acquisition?
A: The acquisition is expected to bring significant benefits to both Avangrid and Iberdrola, including access to global resources and expertise, and the ability to expand operations and invest in new renewable energy projects.
Q: What is the regulatory status of the acquisition?
A: The acquisition is subject to regulatory approvals from various authorities, including the US Federal Energy Regulatory Commission (FERC) and the New York State Public Service Commission (PSC).
