Hydro One Set to Buy Avista

Hydro One Ltd. (TSX:H) has signed a friendly deal to acquire U.S. energy company Avista Corp. for C$6.7 billion in an all-cash deal that would create one of the largest regulated utilities in North America.

The Toronto-based company said Wednesday after the close of markets that it will pay C$67 per share in cash for the U.S. firm. Shares in Avista closed Wednesday at US$43.33 on the New York Stock Exchange.

“This is really a proud moment for Canadians as we grow our business to become a North American leader,” said Hydro One CEO Mayo Schmidt during a press conference, adding Hydro One will be a more valuable company because of the transaction.

  • deplorabledave

    At a 65% premium it looks like the Ontario taxpayer is about to get hosed again.

    • That sound one hears is the grinding of teeth.

    • Waffle

      The rate increase was already approved. Everyone can go back to sleep now.

    • JoKeR

      I wonder how many Liberals bought Avista stock before the announcement?

      • Marvin

        Just the elite few in the inner circles.

  • Jaedo Drax

    Why the fuck is hydro one buying a company that is not adjacent to it’s existing business?

    • Marvin

      Probably to enrich Liberals.

  • CodexCoder

    They can’t run what they have now properly – why waste billions more to increase the problem?

    • Clausewitz

      Because when you can fuck over tax payers, then there is no end to how deep you can reach into our pockets.

  • Frances

    And just where is Hydro One getting the money for this purchase? Not from this Albertan, I hope.