Dive Brief:
- Iberdrola USA and UIL Holdings have completed their merger, combining to create Avangrid, one of the largest electric utilities and power generators in the United States with 5.6 GW of wind generation, 3.1 million customers and $8.3 billion in rate base, Greentech Media reports.
- The combined entity also has natural gas storage and hub facilities which include more than 120 billion cubic feet of owned or contracted storage capacity.
- Officials say the new company is the second largest wind generator in the country, and is committed to a "more sustainable future" as well as helping lead the transformation of the country's electric industry.
Dive Insight:
The newly-formed Avangrid began trading on the New York Stock Exchange last week under the symbol AGR. The company has $30 billion in assets from wind generation to regulated utilities to natural gas storage and said it is "committed to being a leader in the transformation to a clean energy future in the U.S. providing sustainable, innovative energy solutions that benefit consumers, communities, shareholders and the environment."
The company's wind generation is sited across more than 50 farms in 18 states, and approximately 69% of the capacity is contracted for an average term of nine years.
Upon closing of the deal, James Torgerson, president and CEO of UIL Holdings, became CEO of Avangrid.
“We will be a leader in the transformation of the U.S. energy industry,” Torgerson said in a statement. He said the "friendly integration" of the two companies "will offer a more sustainable future to our customers, shareholders and communities.”
Torgerson will also serve on Avangrid's board, and will head a leadership team from among the former UIL and Iberdrola USA executives. The company said it intends to maintain a close affiliation with the majority shareholder and former parent company, Iberdrola, S.A.