Azurix Agrees To Merge With Enron
HOUSTON (AP) _ Azurix Corp. shareholders voted Friday to accept former parent Enron Corp.’s bid to reacquire the water company for $8.375 per share.
Azurix will merge with an indirect Enron subsidiary, Enron BW Corp., in a deal that was to close after trading on the New York Stock Exchange concluded Friday.
Enron in October offered to pay $7 per Azurix share, about twice Azurix’s share value prior to the announcement. Enron later increased its offer.
Azurix owns, operates and manages water and wastewater systems. Despite recent gains because of the Enron offer, its share price is far below its initial offering price in June 1999 of $19 per share.
Shares of Azurix were trading up 3 cents to close at $8.38 on the New York Stock Exchange, where shares of Enron were down $4.29, or nearly 6.5 percent, to close at $62.24.
Both companies are based in Houston.
On the Net: http://www.enron.com