MidAmerican Energy Holdings has reached an agreement with ScottishPower to acquire its subsidiary, PacifiCorp, and create an energy holding company serving approximately three million electricity and gas customers in 10
The transaction, which has been approved unanimously by both companies’ boards of directors, will result in a company with assets totaling more than $32 billion internationally, of which $25.3 billion are in the
Following the acquisition, MidAmerican will have approximately $10 billion in annual revenues internationally, of which $8.5 billion will be from the
PacifiCorp will operate under its current name and will continue to be headquartered in
MidAmerican will purchase all of the outstanding shares of PacifiCorp common stock for approximately $5.1 billion in cash plus approximately $4.3 billion in net debt and preferred stock, which will remain at PacifiCorp. The acquisition is subject to customary conditions, including the approval of the transaction by the shareholders of ScottishPower and the receipt of required state and federal approvals. The transaction is expected to be completed in 2006.