HOUSTON and EVANSVILLE, Ind., Feb.
1, 2019 /PRNewswire/ -- CenterPoint Energy, Inc. (NYSE:
CNP) and Vectren Corporation (NYSE: VVC) today announced the
successful completion of their merger. The combined company, which
is named CenterPoint Energy and headquartered in Houston, has regulated electric and natural
gas utility businesses in eight states that serve more than 7
million metered customers and a competitive energy businesses'
footprint in nearly 40 states.
"Today, we come together as one company. With a greater level of
business operations, resources and capabilities, we plan to execute
a unified business strategy focused on the safe and reliable
delivery of electricity, natural gas and energy-related services,"
said Scott M. Prochazka, president
and chief executive officer of CenterPoint Energy. "It is a time of
transformation for our industry, and I believe CenterPoint Energy
will be well positioned to deliver traditional energy services with
innovative solutions that meet customers' evolving needs and
expectations."
With the merger, CenterPoint Energy has assets totaling
approximately $29 billion, an
enterprise value of $27 billion and
approximately 14,000 employees. CenterPoint Energy's businesses
include:
- Electric utility business – CenterPoint Energy
maintains the wires, poles and electric infrastructure serving 2.4
million metered customers in the greater Houston area and 145,000 customers in
Indiana. The company also owns and
operates nearly 1,300 megawatts of power generation capacity in
Indiana. CenterPoint Energy's
Texas electric utility business is
headquartered in Houston and its
Indiana electric utility business
is headquartered in Evansville,
Ind.
- Natural gas utility business – CenterPoint Energy
sells and delivers natural gas to 4.5 million homes and businesses
in eight states: Arkansas,
Indiana, Louisiana, Minnesota, Mississippi, Ohio, Oklahoma and Texas, including the high-growth areas of
Houston and Minneapolis. The company's natural gas utility
business is headquartered in Evansville.
- Competitive energy businesses – CenterPoint Energy's
competitive energy businesses include: natural gas marketing and
energy-related services; energy efficiency, sustainability and
infrastructure modernization solutions; and construction and repair
services for pipeline systems, primarily natural gas. The company's
competitive energy businesses are led from Houston.
CenterPoint Energy will continue to trade under the ticker
symbol "CNP" on the New York Stock Exchange (NYSE) and the Chicago
Stock Exchange.
Under the terms of the merger agreement, which was announced on
April 23, 2018, Vectren shareholders
will receive $72.00, along with a
prorated dividend of $0.41145, in
cash for each share of Vectren common stock owned as of the close
of business on Feb. 1, 2019.
Additionally, Vectren common stock, which previously traded under
the ticker symbol "VVC," has ceased trading on and was delisted
from the NYSE effective today.
"I look forward to watching the newly combined company thrive in
this evolving industry," said Carl
Chapman, outgoing Vectren chairman, president and chief
executive officer. "CenterPoint Energy was the right partner for
Vectren and I am confident this merger will have a positive impact
on all stakeholders. I sincerely thank the employees and
shareholders who have been part of the Vectren journey."
A CenterPoint Energy fact sheet can be found here.
CenterPoint Energy
Headquartered in Houston,
Texas, CenterPoint Energy, Inc. is an energy delivery
company with regulated utility businesses in eight states and a
competitive energy businesses footprint in nearly 40 states.
Through its electric transmission & distribution, power
generation and natural gas distribution businesses, the company
serves more than 7 million metered customers primarily in
Arkansas, Indiana, Louisiana, Minnesota, Mississippi, Ohio, Oklahoma and Texas. CenterPoint Energy's competitive energy
businesses include natural gas marketing and energy-related
services; energy efficiency, sustainability and infrastructure
modernization solutions; and construction and repair services for
pipeline systems, primarily natural gas. The company also owns 54.0
percent of the common units representing limited partner interests
in Enable Midstream Partners, LP, a publicly traded master limited
partnership that owns, operates and develops strategically located
natural gas and crude oil infrastructure assets. With approximately
14,000 employees and nearly $29
billion in assets, CenterPoint Energy and its predecessor
companies have been in business for more than 150 years. For more
information, visit CenterPointEnergy.com.
Forward-Looking Statement
The statements in this press release contain "forward-looking
statements" within the meaning of Section 27A of the Securities Act
of 1933 and Section 21E of the Securities Exchange Act of 1934. All
statements other than statements of historical fact included in
this press release are forward-looking statements made in good
faith by us and are intended to qualify for the safe harbor from
liability established by the Private Securities Litigation Reform
Act of 1995. When used in this press release, the words
"anticipate," "believe," "continue," "could," "estimate," "expect,"
"forecast," "goal," "intend," "may," "objective," "plan,"
"potential," "predict," "projection," "should," "target," "will" or
other similar words are intended to identify forward-looking
statements. These forward-looking statements are based upon
assumptions of management which are believed to be reasonable at
the time made and are subject to significant risks and
uncertainties. Actual events and results may differ materially from
those expressed or implied by these forward-looking statements.
Forward-looking statements include, but are not limited to,
statements relating to benefits of the merger, integration plans
and expected synergies and anticipated future financial measures
and operating performance and results, including estimates for
growth and other matters affecting future operations. Each
forward-looking statement contained in this press release speaks
only as of the date of this release. Important factors that could
cause actual results to differ materially from those indicated by
the provided forward-looking information include risks and
uncertainties relating to: (1) difficulties that may arise in
successfully integrating the businesses of CenterPoint Energy and
Vectren, which may result in the combined company not operating as
efficiently and effectively as anticipated; (2) the ability of the
combined company to achieve expected cost savings and synergies or
it taking longer than expected for those savings and synergies to
materialize; (3) potential unexpected costs or unexpected
liabilities associated with the merger; (4) potential differences
in the actual credit ratings of CenterPoint Energy, Vectren or
their subsidiaries from the companies' anticipated ratings; (5)
future regulatory or legislative actions that could adversely
affect the combined company; (6) other economic, business or
competitive factors that could adversely affect the combined
company and (7) other factors discussed in CenterPoint Energy's
Annual Report on Form 10-K for the fiscal year ended
December 31, 2017, CenterPoint Energy's Quarterly Report on
Form 10-Q for the quarters ended March 31, 2018, June 30,
2018 and September 30, 2018 and other reports CenterPoint
Energy or its subsidiaries may file from time to time with the
Securities and Exchange Commission.
For more information contact:
CenterPoint Energy
Media: Alicia Dixon 713.825.9107
or
Natalie Hedde 812.491.5105
Investors: David Mordy
713.207.6500
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SOURCE CenterPoint Energy, Inc.