Northeast Utilities, NStar close on $5B deal
HARTFORD, Conn.—Following 18 months of federal and state review, Northeast Utilities has closed on its $5 billion purchase of NStar, creating the biggest utility in New England.
The companies announced Tuesday morning that the purchase closed. The newly combined company operates six electric and natural gas utilities serving 3.5 million customers in Connecticut, Massachusetts and New Hampshire.
It will continue to be called Northeast Utilities. Boston-based NStar will be a Northeast Utilities subsidiary.
Dual headquarters of the company, which employs 9,000 workers, will operate in Hartford and Boston.
The utilities said that based on results of 2011, the newly formed company is expected to post annual operating revenue of $7.4 billion.
To win approval, Northeast Utilities and NStar agreed to state regulators' demands for rate cuts and alternative energy purchases.
