Current:Home > InvestBaton Rouge company set to acquire Entergy gas distribution business-LoTradeCoin
Baton Rouge company set to acquire Entergy gas distribution business
View Date:2024-12-23 16:55:53
NEW ORLEANS (AP) — Utility giant Entergy’s plans to sell its gas distribution business is moving forward under a $484 million cash deal with Bernhard Capital Partners, a Baton Rouge-based private equity management firm.
The two companies announced the pending deal on Monday.
Entergy will spin off a division that provides gas to about 95,000 homes and businesses in the Baton Rouge area under Entergy Louisiana and another 109,000 in New Orleans, which is serviced by Entergy New Orleans.
Entergy said it will use the proceeds, if the sale is approved, to repay debt and to support its growing electric utility business.
″This agreement allows us to continue our strategy of simplifying operations and focusing on our regulated electric utility business for the benefit of our customers,” said Drew Marsh, Entergy chairman and chief executive officer.
Jeff Jenkins, founder and partner at Bernhard Capital Partners, said in a statement that they believe “this operation is primed to provide even greater services to Louisiana communities and beyond.”
“We have an experienced leadership team prepared to lead it through strategic, transformational growth,” Jenkins said. “This agreement is the catalyst to significant investment and opportunity for current employees, customers, and our state. In fact, we anticipate creating more than a hundred new, high-paying jobs for Louisiana residents through this investment.”
The deal requires approval from regulators including the Louisiana Public Service Commission, Baton Rouge and East Baton Rouge Parish’s Metropolitan Council and the New Orleans City Council.
Completion of the transaction could take nearly two years.
Entergy, based in New Orleans, provides utility services to three million customers in Arkansas, Louisiana, Mississippi and Texas. Bernhard Capital Partners focuses on investments in service and infrastructure businesses.
veryGood! (97)
Related
- Georgia House Republicans stick with leadership team for the next two years
- A UNC student group gives away naloxone amid campus overdoses
- Poland election could oust conservative party that has led country for 8 years
- U.S. gets a C+ in retirement, on par with Kazakhstan and lagging other wealthy nations
- Congress is revisiting UFOs: Here's what's happened since last hearing on extraterrestrials
- Neymar in tears while being carted off after suffering apparent knee injury
- Instead of coming face-to-face with Michael Cohen, Trump confronts emails and spreadsheets at New York trial
- Car thefts are on the rise. Why are thieves rarely caught?
- Nelly will not face charges after St. Louis casino arrest for drug possession
- Italy’s far-right Premier Meloni defies fears of harming democracy and clashing with the EU
Ranking
- 'Squid Game' creator lost '8 or 9' teeth making Season 1, explains Season 2 twist
- Republicans and Democrats agree on one thing: The Afghan war wasn’t worth it, AP-NORC poll shows
- Guinness World Records names Pepper X the new hottest pepper
- How US military moves, including 2,000 Marines, will play into Israel-Gaza conflict
- Seattle man faces 5 assault charges in random sidewalk stabbings
- How a consumer watchdog's power became a liability
- Michael Caine reveals he is retiring from acting after false announcement in 2021
- Ukraine uses US-supplied long-range missiles for 1st time in Russia airbase attack
Recommendation
-
Avril Lavigne’s Ex Mod Sun Is Dating Love Is Blind Star Brittany Wisniewski, Debuts Romance With a Kiss
-
How international law applies to war, and why Hamas and Israel are both alleged to have broken it
-
Britney Spears reveals she had abortion while dating Justin Timberlake in new memoir
-
Justice Amy Coney Barrett says it would be a good idea for Supreme Court to adopt ethics rules
-
Vegas Sphere reports revenue decline despite hosting UFC 306, Eagles residency
-
UK national, South African and local guide killed in an attack near a Ugandan national park
-
Autoworkers used to have lifelong health care and pension income. They want it back
-
Well-known leader of a civilian ‘self-defense’ group has been slain in southern Mexico