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Published: Fri, July 21, 2017
Economy | By Melissa Porter

Avista bought by Canadian company for $5.3 billion

Avista bought by Canadian company for $5.3 billion

The combined company will be headquartered in Toronto.

The transaction will combine two leading regulated utilities with over 230 years of collective operational experience.

Since private interests took over majority control of Hydro One this spring, the company has already applied for and been granted a rate increase and is now gobbling up local public utilities across Ontario and now in other countries. The company has headquarters in Spokane, Washington.

According to a press release, the merger was unanimously approved by the Boards of Directors of both companies and is expected to close in late 2018.

It is subject to Avista common shareholder approval and certain regulatory and government approvals and clearances.

Closing is not expected to take place until "the second half of 2018", however, and it will depend on the usual "regulatory and government approvals and clearances, including approval by the Washington Utilities and Transportation Commission, the Public Utility Commission of OR, the Idaho Public Utilities Commission, the Regulatory Commission of Alaska, the Public Service Commission of the State of Montana, the U.S. Federal Energy Regulatory Commission, clearance by the Committee on Foreign Investment in the United States and compliance with applicable requirements under the U.S. Hart-Scott-Rodino Antitrust Improvements Act of 1976". Avista Utilities offers electric service to 379,000 customers and natural gas to 342,000 customers. In Hydro One, we believe we've found a partner that allows us to preserve our identity and our proud legacy, while also preparing us for the future.

Canadian power giant Hydro One will buy Avista, the parent company of Alaska Electric Light and Power, for $5.3 billion, it was announced Wednesday afternoon.

Ontario's largest trade union, CUPE is also a member of the Keep Hydro Public Coalition and is now pursuing a misfeasance suit against the Ontario government over the privatization of Hydro One.

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