Peoples Natural Gas Company LLC, a subsidiary of SteelRiver Infrastructure Partners, has acquired Equitable Gas Company LLC from EQT Corporation (NYSE: EQT) for approximately $740 million.
Equitable will be merged with Peoples, creating the largest gas utility company in Pennsylvania by number of customers.
The transaction, signed in December 2012, received clearance by the Federal Trade Commission, and approvals by the Federal Energy Regulatory Commission, the Pennsylvania Public Utility Commission and the West Virginia Public Service Commission.
The transaction gives SteelRiver control over three natural gas regulated utilities operating in Pennsylvania, West Virginia and Kentucky, serving approximately 700,000 customers.
Morgan O'Brien, President and CEO of Peoples Natural Gas stated that the merger is estimated to save more than $160 million by avoiding capital spending that that consumers would otherwise have to pay for.
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