CALGARY — The sale of Halifax-based Emera Inc.'s Maine power utility to City of Calgary-owned Enmax Corp. is expected to be finalized after winning approval from a key state regulator.
Emera Maine says the Maine Public Utilities Commission decision is the sixth and final regulatory agency approval required to proceed with closing the acquisition.
The approval comes after a negotiated settlement agreement was reached between Enmax, Emera Maine, the Maine Office of the Public Advocate and other interveners in the state regulatory review of the sale.
The companies agreed to 43 commitments including holding customer distribution rates at current levels until October 2021, issuing customer rate credits of US$8.1 million, giving an additional US$5 million in electric rate relief to low-income customers, implementing reliability and customer service quality metrics and ensuring employment levels aren't affected.
Emera Maine is a regulated electric transmission and distribution company headquartered in Bangor with more than 159,000 customers in the northern part of the state.
Under the deal, Enmax will pay C$1.29 billion plus assume roughly C$500 million in debt.
"Enmax has made a significant, long-term commitment to Emera Maine's customers, employees and Maine communities," said Enmax CEO Gianna Manes in a news release. "With this approval, we are looking forward to a smooth transition of ownership."
This report by The Canadian Press was first published March 17, 2020.
Companies in this story: (TSX:EMA)
The Canadian Press