(Reuters) -Utility company Black Hills said on Tuesday it would buy peer NorthWestern Energy Group for $3.6 billion.
The all-stock deal, which has an enterprise value of $15.4 billion, would create a regional regulated natural gas utility company with a pro forma market capitalization of roughly $7.8 billion.
The per-share value of about $59 implies a premium of 7.66% to NorthWestern’s last close, according to Reuters calculation.
NorthWestern shareholders will receive 0.98 shares of Black Hills for each held. Black Hills stockholders would own roughly 56% of the company after the deal closes, which is expected in 12 to 15 months.
(Reporting by Vallari Srivastava in Bengaluru; Editing by Shilpi Majumdar)
Comments