- Westar Energy (WR -1.4%) disclosed late yesterday that its $8.6B proposed takeover by Great Plains Energy (GXP -0.7%) is being investigated by the U.S. Justice Department.
- WR said it received a letter from the DoJ in June requesting “certain documents and information" on a voluntary basis; the two companies say they are cooperating.
- The disclosure comes less than a week after the staff of Missouri’s utility commission said the merger should be subject to a state review, threatening to hold up a transaction that WR and GXP have been expecting to close by the middle of next year.
- WR also reported yesterday that its Q2 earnings missed expectations while reaffirming FY 2016 guidance for EPS of $2.38-$2.53, vs. $2.45 analyst consensus estimate.