16 July 2002 – UK utility Centrica plc said Tuesday that its Energy America subsidiary had agreed to acquire the gas customers of Enron’s New Power Holdings, Inc and its subsidiaries (NewPower) in Ohio and Pennsylvania for an estimated $8.25m.
The announcement follows the approval of the United States Bankruptcy Court for the Northern District of Georgia. NewPower currently has around 215 000 gas customers in these markets.
Energy America has also agreed to acquire other specified assets including gas inventory and certain computer systems relating to the customers being acquired, which at 27 June 2002 had an estimated value at completion of $13.6m.
The price that will ultimately be paid to NewPower is subject to an adjustment for any shortfall in customers and the projected forward price curves for gas between 13 June and completion, and to certain other adjustments. Centrica said the transaction was also subject to approvals by regulatory agencies.