Dive Brief:
- The deal to buy AELP from parent company Alaska Energy & Resources Company for $170 million has successfully concluded, said buyer Avista.
- The acquisition provides Avista with 16,000 new customers, none of whom should notice any change in service due to the terms of the deal.
- As part of the agreement, 4.5 million shares in common stock were issued to Alaska Energy & Resources Company shareholders at about $32.46 each.
Dive Insight:
Avista currently makes up 51% of its total generation with renewable resources, including hydroelectricity, solar, and wind. The deal with AELP brings its various hydroelectricity facilities under the Avista umbrella, boosting its renewable capacity further.
Jessie Wuerst, Avista Communications Manager, said that the acquisition may not be the last the company makes in Alaska. In a statement, she said, "We’re an investor-owned utility, so we’re always looking for opportunities to bring value to our shareholders and Southeast Alaska is certainly an area that has opportunities in it. So we’re looking.”