Sempra Energy is buying Texas power transmitter Oncor for $9.45 billion in cash, wresting it away from Warren Buffett's Berkshire Hathaway.
Sempra said Monday that it will also pick up $9.35 billion of the company's debt. To gain possession of Oncor, Sempra will acquire the reorganized Energy Future Holdings Corp. Energy Future entered bankruptcy in 2014, saddled with more than $40 billion in debt due to cratering energy prices.
Berkshire Hathaway said last month that it would buy Oncor for $9 billion, and last week it stuck to that bid. Hedge fund Elliott Management, which owns a significant portion of Oncor's debt, opposed Berkshire's takeover bid, saying it wasn't enough. But Berkshire Hathaway stood firm on its offer, saying last week that it would not be increasing the bid.
Submitted August 21, 2017 at 10:15AM by ChocolateTsar http://ift.tt/2uY3j34
