Shareholders of North Carolina Natural Gas Corp. (NCNG) approvedthe company’s acquisition by Raleigh, NC-based Carolina Power &Light. The companies are awaiting approval by the North CarolinaUtilities Commission and the South Carolina Public ServiceCommission. CP&L anticipates commission approval and completionof the acquisition in July.

More than 97% of the NCNG shares represented voted in favor ofthe acquisition. About 70% of the total shares were voted.

CP&L announced Nov. 11, 1998, that it would acquire NCNG for$354 million in company stock, as part of CP&L’s plan to become atotal energy provider for its customers (See Daily GPI Nov. 12, 1998). NCNG distributesgas to 178,000 customers in eastern and central NorthCarolina. CP&L provides electricity and energy services to 1.2million customers in the Carolinas.

The merger is intended to move CP&L along on its goal ofbecoming a one-stop energy shop and large regional energy company.”We have plans for significant additions of gas-fired power plantsover the next 10 years to meet our customers’ needs. Access to acompetitively priced gas supply is integral to our long-termstrategy,” said CP&L CEO William Cavanaugh III at the time thedeal was announced.

©Copyright 1999 Intelligence Press Inc. All rights reserved. Thepreceding news report may not be republished or redistributed, inwhole or in part, in any form, without prior written consent ofIntelligence Press, Inc.