graphic
News > Deals
Wis. energy companies tie
June 28, 1999: 7:40 a.m. ET

Wisconsin Energy to buy Wicor for $1.27B in cash, stock and debt
graphic
graphic graphic
graphic
NEW YORK (CNNfn) - Wisconsin Energy Corp. said Monday it is buying natural gas supplier Wicor Inc. for $1.27 billion in cash, stock and debt assumption, creating a major Midwest energy company.
     Under the terms of deal, Wicor shareholders will get $31.50 per share, a 19 percent premium above Friday's closing price. Wisconsin Energy will pay at least 40 percent of the acquisition price with stock. The rest will be paid in cash and with the assumption of approximately $230 million of WICOR debt
     A combined Wicor (WIC) and Wisconsin Energy (WEC), an electric and natural gas utility, will have 921,000 gas customers and more than one million electric customers in Wisconsin and Michigan's Upper Peninsula.
     Milwaukee-based Wisconsin Energy said there will be no layoffs in the merger, which is expected to add to earnings by 2001. The purchase of Wicor, also Milwaukee-based, is expected to close by the first quarter of 2000 and create a company with a $7.5 billion market capitalization.
     Wisconsin Energy has the option to increase the stock purchase percentage to 60 percent, based on the average closing prices of its stock immediately prior to the closing. If the average is less than $22.00 per share, Wisconsin Energy may elect to pay all cash.
     Wicor shares dropped 1/16 to 26-9/16 Friday. Wisconsin Energy stock fell 1/8 to 27-1/6.Back to top

  RELATED STORIES

Northeast adds gas - June 15, 1999

Energy East buys CMP - June 15, 1999

  RELATED SITES

Wisconsin Energy


Note: Pages will open in a new browser window
External sites are not endorsed by CNNmoney




graphic

Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer LIBOR Warning: Neither BBA Enterprises Limited, nor the BBA LIBOR Contributor Banks, nor Reuters, can be held liable for any irregularity or inaccuracy of BBA LIBOR. Disclaimer. Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.
Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer LIBOR Warning: Neither BBA Enterprises Limited, nor the BBA LIBOR Contributor Banks, nor Reuters, can be held liable for any irregularity or inaccuracy of BBA LIBOR. Disclaimer. Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.