Smokestacks at the Algonquin Power Energy from Waste plant, which generates electricity from burning garbage, in Brampton, Ont.J.P. MOCZULSKI/Reuters
Oakville, Ont.-based Algonquin Power & Utilities Corp. has agreed to acquire Empire District Electric Co. for $1.49-billion (U.S.), in the second purchase of a U.S. utility by a Canadian company on Tuesday.
Empire shareholders will receive $34 per share in cash, a 21-per-cent premium to Monday's closing price, according to a statement Tuesday. Including debt, the deal is worth about $2.4-billion.
Earlier Tuesday, Fortis Inc. agreed to buy ITC Holdings Corp. for $6.9-billion in cash and stock, in what will be the largest Canadian takeover of a U.S. utility.
Empire will maintain its headquarters in Joplin, Missouri, after the deal and its customer rates will be unaffected by the deal.