Noverco Inc. received the approval of the Federal Energy Regulatory Commission on May 31 to acquire all issued and outstanding common and preferred shares of Valener Inc. in a take-private transaction valued at C$1.2 billion, including the assumption of existing debt.
Under the deal first announced March 27, Noverco will buy Valener's common shares for C$26 per share and its preferred shares for C$25 per share, plus accrued and unpaid dividends. The parties intend to close the transaction early this summer.
Noverco indirectly owns a 71% equity interest in Green Mountain Power Corp., which provides retail electric service to customers in Vermont. Valener indirectly owns the remaining 29% equity interest in Green Mountain Power.
At closing, Green Mountain Power will become an indirect, wholly owned subsidiary of Noverco. Also as a result of the deal, Noverco will increase its indirect equity interest in Vermont Electric Power Co. Inc., Vermont Transco LLC and Vermont Electric Transmission Co., each of which is a public utility affiliate of Green Mountain Power. (FERC docket EC19-78)