Wisconsin Energy Corp. is buying Integrys Energy Group Inc. for about $5.7-billion (U.S.) in cash and stock to form a more diverse Midwest electric and natural gas delivery company.
The combined company will be called WEC Energy Group Inc. and serve more than 4.3 million total gas and electric customers across Wisconsin, Illinois, Michigan and Minnesota.
Under the deal announced Monday, Integrys stockholders will receive 1.128 Wisconsin Energy shares and $18.58 in cash for each share they own. Total consideration is valued at $71.47 per Integrys share, a 17-per-cent premium to the company’s Friday closing stock price of $60.95.
The companies put the transaction’s total value at $9.1-billion including the assumption of some debt.
Both companies’ boards approved the deal, which is targeted to close in the summer of 2015.