M&A

For the recent string of large U.S. electric utility holding companies buying up natural gas infrastructure assets, the planned acquisitions bring added debt that could offset the benefits from diversifying revenue, according to a report published Tuesday by Moody’s Investors Service.

Englewood, CO-based IHS Inc. has agreed to combine with data provider Markit in an all-stock transaction valued at $13 billion.

Calgary-based TransCanada Corp. late Thursday said it agreed to pay $13 billion to buy Columbia Pipeline Group Inc. (CPG) in a deal that would connect some of the most prolific natural gas supply basins in North America.

Calgary, Alberta-based TransCanada Corp. said Thursday it was in discussions with a third party on a “potential transaction” but no agreement has been reached, reacting to reports in financial news media that it is eyeing a deal with Houston-based Columbia Pipeline Group Inc. Some reports on Thursday speculated that talks had hit a standstill.

ExxonMobil Corp. has sharply reduced its capital spending plans this year but management is eyeing potential acquisitions while commodity prices are weak, CEO Rex Tillerson said Wednesday. The only issue is that sellers still have unrealistic price expectations, he said during the annual analyst conference in New York City.

Exelon Corp. and Pepco Holdings Inc. (PHI) on Friday saw their merger plans once again sidelined in Washington, DC, when the District of Columbia Public Service Commission (PSC) rejected their proposal and gave the companies two weeks to accept new, PSC-authored terms.

Dynegy Inc. and Energy Capital Partners, through a newly formed joint venture, will buy ENGIE’s fossil portfolio, including 8,731 MW of generation capacity in the ERCOT, PJM and ISO-New England footprints, for $3.3 billion, a deal that would increase Dynegy’s natural gas and combined cycle fleet, the companies said Thursday.

Former EOG Resources Inc. chief Mark Papa, who helped lead the unconventional charge in the U.S. onshore, has begun his second act, helming a blank check company backed by Riverstone Holdings LLC that was created to buy energy assets.

Announcing its 4Q2015 results during a conference call Thursday, management for Energy Transfer Partners LP (ETP) and Energy Transfer Equity LP (ETE) said ETE’s announced merger with The Williams Companies (see Daily GPI, Sept. 28, 2015) is expected to close during the second quarter, pending customary closing conditions.