Laclede Group to Buy 2 Southern Union Utilities

NEW YORK (AP) — Laclede will buy two of Southern Union Co.’s utilities, Missouri Gas Energy and New England Gas Co., for $1.02 billion.

Energy Transfer Equity’s takeover of pipeline operator Southern Union Co closed early this year.

The deal announced Monday also includes the assumption of about $20 million in debt, so the companies value it at nearly $1.04 billion.

Laclede, a utility holding company, expects the deal to close next summer, and start to boost earnings a year after that.

The utilities had combined revenue of about $517 million in the 12 months ending in September. The deal will double Laclede’s customer base to 1.2 million.

The Laclede Group Inc. is based in St. Louis. Southern Union is based in Houston.

(© Copyright 2012 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)

Comments

Leave a Reply

Fill in your details below or click an icon to log in:

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

More From CBS St. Louis

Live Inspired
KMOX Podcasts

Listen Live