DALLAS, May 9, 2019 /PRNewswire/ -- InfraREIT, Inc.
(NYSE: HIFR) ("InfraREIT" or the "Company") announced today that
the Public Utility Commission of Texas ("PUCT") voted to approve the
acquisition of InfraREIT by Oncor Electric Delivery Company LLC
("Oncor").
The approval by the PUCT marks the final regulatory approval
required to close the pending transaction with Oncor pursuant
to which InfraREIT will be acquired for $21.00 per share in cash, valued at approximately
$1.275 billion, plus the
assumption of approximately $940
million of InfraREIT's net debt as of March 31, 2019. The PUCT also approved the asset
exchange between InfraREIT's regulated subsidiary, Sharyland
Distribution & Transmission Services, L.L.C., and its tenant,
Sharyland Utilities, L.P., and the other related transactions that
are conditions to the closing of the sale of InfraREIT to
Oncor.
"We appreciate the time and effort of all of the parties to the
PUCT proceeding in jointly working toward the settlement that we
presented to the Commission in April, and we thank the Commission
for its thoughtful consideration of our transaction," said
David A. Campbell, President and
Chief Executive Officer of InfraREIT.
Following the approval by the PUCT, the InfraREIT board of
directors declared a cash dividend of $0.002747 per share of common stock, per
day, which represents a pro-rated quarterly dividend of
$0.25 per share. The pro-rated
dividend is intended to cover the period between March 29, 2019, which was the record date for the
Company's first quarter dividend, and the closing of the sale to
Oncor.
If the effective time of the merger with Oncor occurs before
June 28, 2019, holders of record as
of immediately prior to the effective time will receive a per-share
amount equal to the actual number of days from the first quarter
record date through the closing date, multiplied by $0.002747. The pro-rated dividend will be paid no
later than six business days following the closing.
In the event that the closing has not occurred by June 28, 2019, the Company's regular $0.25 quarterly dividend will be payable on
July 18, 2019 to holders of record on
June 28, 2019, in accordance with
InfraREIT's standard quarterly dividend schedule.
"It has been an immense honor to lead this organization, which
will be remembered for its innovation and its commitment to serving
all its stakeholders," continued Campbell. "We look forward to
a successful closing in the coming weeks."
The Company anticipates closing the transaction by the end of
the month.
Forward Looking Statements
This release contains
forward-looking statements within the meaning of the federal
securities laws that state the Company's or its management's
intentions or expectations about future events. These
statements include statements with respect to the consummation of
the transaction with Oncor, the payment of the pro-rated dividend
and the timing or amount of such payment. Factors that could cause
actual results to differ materially from those contemplated above
include, among others, the risks and uncertainties discussed from
time to time in the Company's filings with the U.S. Securities and
Exchange Commission.
Any forward-looking statement made by the Company in this
release is based only on information currently available to the
Company and speaks only as of the date on which it is made. The
Company undertakes no obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise, other than as required by applicable
law.
About InfraREIT, Inc.
InfraREIT is engaged in owning
and leasing rate-regulated electric transmission assets in the
state of Texas and is structured
as a real estate investment trust. The Company is externally
managed by Hunt Utility Services, LLC, an affiliate of Hunt
Consolidated, Inc. (a diversified holding company based in
Dallas, Texas and managed by the
Ray L. Hunt family). The Company's shares are traded on the
New York Stock Exchange under the symbol "HIFR". Additional
information on InfraREIT is available at www.InfraREITInc.com.
For additional information, contact:
Brook
Wootton
Vice President, Investor Relations
InfraREIT, Inc.
214-855-6748
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SOURCE InfraREIT, Inc.
