Exelon raises bid for NRG to $8 billion

02 July 2009-- Exelon Corp. sweetened its takeover bid for rival power generator NRG Energy Inc. to $8 billion in stock, saying they saved more money along with NRG's recent deal for Reliant Energy's Texas retail business.

NRG Chairman and CEO John Rowe said that the new bid is Exelon's "best and final offer."

The previous offer has a current value of about $7 billion, but NRG rejected it, saying it undervalued the company.

Exelon said it increased the bid because it found an additional $1.5 billion in potential savings from the tie-up, and because of NRG's acquisition of Reliant Energy's retail business in May.

Last month, Exelon said it would to lay off 500 employees and take a $40 million severance in the second quarter as part of a massive cost-cutting program. Those cuts are expected to save Exelon about $350 million.

If NRG combines with Chicago-based Exelon, the new company would be the largest U.S. power generator. Exelon is the nation's largest nuclear power company.

Related stories

FERC OKs Exelon's hostile bid for NRG Energy

Exelon delays plan for Texas nuclear power plants

Sponsored by FLSmidth

Related Articles

PG&E discloses more emails with state regulators

California's largest power utility released a dozen more emails Monday that it said showed improper back-channel discussions between the utility and top state regulators.

French power company to pay $772M in bribery case

A French power and transportation company has agreed to pay $772 million to resolve allegations that it bribed high-ranking foreign government officials for lucrative projects, the Justice Department said Monday.

Follow Power Engineering on Twitter
Latest News

Valley NG retires 1,069 MW of gas-fired steam capacity in Texas

Valley NG Power Co. LLC on July 2 asked the Public Utility Commission of Texas to let it drop...

SunEdison, Gamesa sign MOU to develop 1 GW of wind power

SunEdison (NYSE: SUNE) and Gamesa (BME: GAM) have signed a Memorandum of Understanding (MOU) ...

Dominion looks to SCC to approve Greensville Power Station

Dominion Virginia Power (NYSE:D) asked the Virginia State Corporate Commission (SCC) for...

SunEdison begins construction at wind energy project in Maine

SunEdison (NYSE: SUNE) secured financing for and started construction on the 185-MW Bingham W...

PNM files ownership plan, coal supply deal with regulators

New Mexico's largest electric provider says it's on track to meeting a deadline for submittin...

Oklahoma attorney general challenges EPA's clean-air plan

A plan by the U.S. Environmental Protection Agency to reduce emissions from coal-fired power ...

Wave Energy Week will mix marine energy developers with traditional hydropower

Oregon Gov. Kate Brown, Democrat, has proclaimed “July 13-17, 2015 to be Oregon Wave Week in ...

Power Engineering Current Issue

03/01/2014
Volume 118, Issue 3
1403PE-cover
Products Showcase
Dynamic Fluoride Ion cleaning DFIC of industrial natural gas turbines Hi-Tech Furnace Systems

Dynamic Fluoride Ion Cleaning of IGT Parts

The Dynamic Fluoride Ion Cleaning (DFIC) Process from Hi-Tech Furnace Systems is able to clean deep, narrow cracks of oxides by cycling between negative, atmospheric, and positive pressure.

Archived Articles

2000 | 2001 | 2002 | 2003 | 2004 | 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011 | 2012 | 2013

Power Industry Wire News

Pure Cycle Corporation Announces Fourth Amendment to Purchase and Sale Agreement and Expiration of Initial Due Diligence Period

Pure Cycle Corporation Announces Fourth Amendment to Purchase and Sale Agreement and Ex...

Ideal Power Receives 5 MW of Orders for Its 30kW and 125kW Power Conversion Systems

Ideal Power Receives 5 MW of Orders for Its 30kW and 125kW Power Conversion Systems

Eureka Hunter Announces New Record Throughput Volumes of ~700,000 MMBtu Per Day

Eureka Hunter Announces New Record Throughput Volumes of ~700,000 MMBtu Per Day

Permian Production Stays Strong as Eagle Ford Tapers Off in the Face of Low Oil & Gas Prices, an Industrial Info News Alert

Permian Production Stays Strong as Eagle Ford Tapers Off in the Face of Low Oil & Gas P...

Power Engineering

Article Archives for Power Engineering Magazine

Continuing Education

Professional Development Hours

To access a course listing associated to a specific topic listed below, click on the topic of choice from the list below.

Latest Energy Jobs

View more Job Listings >>