Powergen PLC (London, UK) has successfully completed its acquisition of LG&E Energy (Louisville, KY) and the two companies have formally begun joint operations. The merger received the approval of all state and federal regulatory bodies as well as the shareholders of both companies. The merger creates a global power company with assets of nearly $14 billion and total revenues of $9 billion, serving four million customers worldwide.
LG&E Energy's last day of trading on the New York Stock Exchange was Monday, 11 December, 2000. In the weeks to come, shareholders of record on December 11th should receive letters of transmittal from Powergen's paying agent, Computershare Trust Company, containing instructions for submitting their stock certificates for a cash payment of $24.85 per share. Additionally, a partial dividend of a little over 25 cents per share will be paid to LG&E Energy shareholders of record on 8 December, 2000.
LG&E Energy will maintain its headquarters in Louisville, which will serve as the headquarters for Powergen's North American operations. LG&E Energy's utility subsidiaries will continue as separate subsidiary corporations with joint operations and with headquarters in Louisville and Lexington, Kentucky.
“We have worked toward this positive outcome for many months and we couldn't be happier that the day has finally arrived when we can celebrate the combining of these two well-run companies into one of the world's finest energy services firms," said Ed Wallis, Powergen's chairman and CEO. “The fact that we've moved this far this fast is a tremendous tribute to our management and our employees. And of course we couldn't have reached this milestone without the input and support of our regulators and customers. We will quickly demonstrate to them that their confidence in us was well placed." He added, “While we've made history with this merger, we're convinced that there is plenty of history left to write."
