Duke Energy seeks to acquire Piedmont Natural Gas
Duke Energy and Piedmont Natural Gas announced in 2015 an agreement under which Duke Energy would acquire Piedmont for approximately $4.9 billion in cash and assume about $1.8 billion of Piedmont’s existing debt. The acquisition is subject to the North Carolina Utilities Commission’s approval and other regulatory reviews.
Piedmont is an energy services company primarily engaged in the distribution of natural gas to more than 1 million residential, commercial, industrial and power generation utility customers in North Carolina, South Carolina and Tennessee.
Piedmont’s subsidiaries are invested in joint venture energy-related businesses, including regulated interstate natural gas transportation and storage and unregulated retail natural gas marketing.
The acquisition would make Duke Energy the nation’s 15th largest natural gas local distribution company (LDC), as measured by the number of natural gas LDC customers – 1.5 million (Piedmont’s 1 million and Duke Energy’s existing 525,000 in the Midwest).
“We look forward to welcoming Piedmont’s customers and employees to Duke Energy,” said Duke Energy President and CEO Lynn Good. "This combination provides us with a growing natural gas platform, benefiting our customers, communities and investors."
The purchase is targeted to close by year-end 2016.
Piedmont would retain its name, operating as a business unit of Duke Energy. Both companies are headquartered in Charlotte, North Carolina.