News

2024-12-20 22:03:00.0 - 2024-12-20 22:03:00.0 UTC +01:00

Iberdrola obtains approval from New York regulator for Avangrid merger

United States Avangrid

  • The company has received the final approval required for the closing of the transaction

Iberdrola has today completed the last step for the acquisition of 100% of its subsidiary Avangrid, having obtained the approval of the New York regulator, after previously obtaining approvals from the federal regulator (FERC) and the Maine regulator.

Once the transaction closes, scheduled for December 23, and under the terms of the merger agreement, Avangrid shareholders will receive $35.75 per share, and Avangrid's shares will cease trading on the New York Stock Exchange.

Avangrid shareholders, who were shareholders on December 2, 2024, will receive the proportional quarterly dividend until closing*, which will be paid on January 2, 2025.

With the closure, Avangrid will operate as a private company and maintain its headquarters in Connecticut.

This merger will allow Iberdrola to invest in the United States more efficiently. The subsidiary will be able to participate more economically in new energy infrastructure projects in its grid and renewables businesses, representing a significant investment in local communities and the generation of hundreds of direct and indirect jobs. These projects will create a more robust, resilient and reliable electric grid, and help meet the growing demand from utilities and data centers.

Avangrid, a leading grid and renewables company

The transaction will allow Iberdrola to continue to grow strongly in the United States after more than 20 years of presence in the country. About a decade ago, Iberdrola merged its North American subsidiary with the listed UIL Holdings to give rise to Avangrid, which has been listed on the US stock exchange ever since.

Thanks to the growth experienced by the company in the last decade, Avangrid today has assets of 46,000 million dollars. The company distributes electricity to a population of 7 million people in the states of New York, Connecticut, Maine and Massachusetts and has an installed capacity of 8,700 MW of renewable energy in 24 states. It also has 8,000
employees.

* Corresponding to $0.44 per quarter calculated from the beginning of the quarter to the closing date