Southern Co. (NYSE: SO) and AGL Resources (NYSE: GAS) received unanimous regulatory approval of their proposed merger from the New Jersey Board of Public Utilities, which was the final approval needed in the deal.
AGL Resources is the parent company of Elizabethtown Gas, a regulated utility providing natural gas distribution services to customers in New Jersey.
Southern first proposed buying AGL Resources in August 2015 for $7.93 billion. Over the past 10 months, the companies received approvals from state regulators in each of the six required jurisdictions. Subject to the satisfaction of other customary closing conditions, the merger is expected to close on or around July 1.
When completed, the combined Southern Co. and AGL Resources is expected to create the second-largest utility company in the U.S. by customer base, bringing together 11 regulated electric and natural gas distribution companies, approximately 44,000 MW of electricity generating capacity and operations of nearly 200,000 miles of electronic transmission and distribution lines.