Exelon Corp. has offered 6.2 billion dollars in stock to purchase the New Jersey based NRG Energy. This buy would mean a great territorial expansion for Exelon Corp., based in Chicago; also, their merge would create a company whose value would sum up to over 60 billion dollars.
NRG officials have not yet reacted to this unsolicited buy proposal, but it seems that they are not very thrilled about it.
Exelon Corp. operates under the environmentally friendly principle and all 17 nuclear reactors that they handle produce very low quantities of greenhouse house emissions.
They have stated that this merge with NRG would keep them amongst the less polluting energy companies in the United States.
Also, they have tried to describe this merger as a win-win situation for the involved companies; Exelon gets territorial expansion, NRG gets leverage on the 8 billion dollar debt and better credit rating, and together they get to produce about 47,000 MW, which would be enough to provide electricity for about 45 million homes in the US.
At present, shareholders from both companies are analyzing the merger and the results will be communicated to the press as soon as a final agreement has been reached.
This post was written by Dana Ciucalau on October 20, 2008
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