MidAmerican Energy to Buy Constellation in $4.7 Billion Deal
MidAmerican Energy Holdings Co., a subsidiary of Warren Buffett's Berkshire Hathaway, agreed on Sept. 18 to acquire Constellation Energy for around $4.7 billion in cash.
"MidAmerican has been a wonderful steward of its energy assets and the acquisition of Constellation Energy, when completed, will prove beneficial to all constituents," said Buffett, chairman of Berkshire Hathaway.
"We strongly believe this transaction is in the best long-term interest of our investors, employees and the customers and communities we serve," said Mayo Shattuck, chairman, president and chief executive of Constellation Energy.
MidAmerican produces energy from fuel sources including geothermal, natural gas, hydroelectric, nuclear, coal and wind. The Des Moines, Iowa-based company also supplies energy in the U.S. and British consumer markets, with 6.7 million electricity and gas customers.
Constellation supplies electricity nationwide from diversified fuel types, including nuclear, coal, gas and renewable sources. The Baltimore, Md.-based company teamed up with French energy giant EDF in July 2007 UniStar Nuclear Energy, to operate new nuclear power plants in the United States.
Copyright Agence France-Presse, 2008
