CenterPoint Energy (NYSE: CNP) has agreed to sell its Ohio natural gas utility, Vectren Energy Delivery of Ohio (VEDO), to National Fuel Gas Company for $2.62 billion. The deal features a creative financing structure — $1.42B in cash at closing and a $1.2B, 6.5%-interest seller note maturing in 2027. The divestiture supports CenterPoint’s $65B capital plan and sharpens its focus on high-growth regulated markets in Texas, Indiana, and Minnesota.
CEO Jason Wells said the sale allows the company to “continue driving growth” and maintain its long-term 9% non-GAAP EPS trajectory through 2035, while streamlining its multi-state portfolio for greater operational efficiency.
Source: Material-Car261