Texas regulators again reject NextEra's $18 billion offer for Oncor

In mid-April, regulators voted the takeover down for the first time, saying the merger was not in the best interest of ratepayers

Content Dam Elp Online Articles 2017 06 Transmission June 9 Elp

The Public Utility Commission of Texas once again rejected Florida-based NextEra Energy's proposed $18 billion deal to purchase Oncor Electric Delivery, an all-transmission business and the Lone Star State's biggest power transmission company.

In mid-April, regulators voted the takeover down for the first time, saying the merger was not in the best interest of ratepayers. The board of three regulators also took issue with handing over the Texas-based company, which is a unit of Energy Futures Holdings, over to an independent board based in Florida.

NextEra made its move for Oncor, which is part of the massive Energy Future Holdings bankruptcy, in July. NextEra announced the Oncor bid shortly after its long-delayed combination with Hawaiian Electric Co. was terminated due to lack of support from regulators in that state.

The Federal Energy Regulatory Commission approved the NextEra takeover in January 2017.

In 2015, Hunt Consolidated and partners offered to buy Oncor as part of EFH’s Chapter 11 bankruptcy proceeding in an estimated $20 billion deal. NextEra announced the Oncor bid shortly after its long-delayed combination with Hawaiian Electric Co. was terminated due to lack of support from regulators in that state.

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