SEC OKs GPU-FirstEnergy Merger
NEWARK, N.J. (AP) _ The U.S. Securities and Exchange Commission has approved the merger of electric utilities GPU Inc. and FirstEnergy Corp.
The effective date for the merger is Nov. 7.
FirstEnergy needed SEC approval before it could complete the purchase of GPU. The companies had agreed on a price of $4.5 billion in stock.
The merger creates one of the country’s biggest investor-owned electric utilities, serving about 4.3 million customers in Ohio, Pennsylvania and New Jersey.
For each share of GPU common stock, shareholders can receive either $36.50 in cash or shares of FirstEnergy common stock.
FirstEnergy owns 16 generation plants _ nuclear, natural gas, oil, coal and hydropower _ in Ohio and western Pennsylvania.
GPU operates three subsidiaries that transmit and distribute power: Jersey Central Power & Light in New Jersey, Metropolitan Edison in eastern Pennsylvania and Pennsylvania Electric in western Pennsylvania.