Thu, Jul. 16, 3:17 PM
- WEC Energy (WEC +2.1%) is upgraded to Outperform from Neutral with a $54 price target, raised from $50, at Baird, which says the combination with Integrys (NYSE:TEG) should fuel attractive long-term total returns reflecting accelerated infrastructure investment opportunities that should support above-average EPS and dividend compound annual growth of 5%-7%.
- Baird says the combined firm appears well positioned to execute on a solid pipeline of regulated capital investment, backed by a constructive regulatory environment which supports timely returns on and of capital as well as a valuation boost from expanded natural gas LDC and transmission businesses.
Jun. 24, 2014, 2:55 PM
- Wisconsin Energy (WEC +1.9%) regains some of yesterday's 3.5% loss following its acquisition of Integrys (TEG +1.5%) for $71.47/share, which represents a 17.3% premium to Friday's closing price.
- Wells Fargo upgrades WEC to Outperform and raises its target price for shares to $50-$51 from $49-$50, believing the deal makes strategic sense given synergies associated with geographic fit and potential opportunities via an increased ownership in Wisconsin transmission grid owner ATC; however, CRT Capital cuts its WEC target price to $44 from $48, citing subsequent increased regulatory risk and potential year-long overhang (Briefing.com).
- For TEG shareholders, the deal brings a healthy 17% premium and they’re getting shares in a very solid company, says Morningstar's Charles Fishman.
Mar. 27, 2014, 5:45 PM
Mar. 4, 2014, 10:43 AM
- Utilities that meet takeover criteria outlined by Warren Buffett this weekend for another “major” acquisition after paying more than $5B last year for electricity provider NV Energy include Wisconsin Energy (WEC +1.8%) and Alliant Energy (LNT +1.1%), Bloomberg speculates.
- WEC and LNT operate in states with favorable regulatory environments, and LNT is expanding into renewable energy, which Buffett has signaled could be a focus for large investments, according to Morningstar; pipeline MLPs such as Plains All American (PAA) and MarkWest Energy (MWE) also could appeal to Buffett, a Baird analyst says.
- Berkshire Hathaway (BRK.A, BRK.B) “is likely looking at a lot of small, regulated utilities that have a lot of growth on the table where his low cost of capital is an incredible advantage,” Morningstar's Mark Barnett says.
May 29, 2013, 2:41 PM
Dec. 7, 2011, 9:41 AMAlliant Energy's (LNT +1.4%) recent moves to revise provisions for executive pay and employee retirement plans in case of a takeover sparks speculation that the operator of power plants in Wisconsin and Iowa could sell itself to Berkshire Hathaway (BRK.A) or Wisconsin Energy (WEC). | Dec. 7, 2011, 9:41 AM | Comment!
WEC Energy Group Inc is an energy holding company. The Company, through its subsidiaries, provides utility services such as distributing electric, gas, steam, and water. Its business segments are utility energy and a non-utility energy.
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