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HECO and HELCO and the rest of the HEI portfolio have been sold, subject to regulatory approval. Here's an excerpt of the article which includes interesting details of Hawaiian Electric's colorful history
Quote:
Florida company buys HEI for $4.3B
A Florida company announced Wednesday it would buy Hawaiian Electric Industries Inc. for $4.3 billion and take on the challenge of moving the state off its near total dependence on imported fossil fuels for power generation.
If the deal wins regulatory approval, Juno Beach, Fla.-based NextEra Energy Inc., the nation's largest generator of wind and solar power, will become a key player in determining whether Hawaii can break its $5 billion-a-year imported-oil habit. Oil and coal account for 86 percent of Hawaii's electric power, which leads to monthly bills being nearly triple the average in the U.S.
"In NextEra Energy, Hawaiian Electric is gaining a trusted partner that can help the company accelerate its plans to achieve the clean energy future we all want for Hawaii," said Connie Lau, head of HEI.
NextEra said it hopes to exceed the goals set by HEI in August to increase renewables as a percentage of total energy production to 65 percent, triple the state's solar power generation and lower customer bills 20 percent by 2030.
NextEra said Hawaiian Electric will keep its name and continue to be based in Honolulu. The company also promised there will be no layoffs for at least two years.
As part of the deal, American Savings Bank, the state's third-largest financial institution and a subsidiary of HEI, would be spun off. Current HEI shareholders would become owners of the new, independent ASB.
THE DEAL
>> NextEra will pay $4.3 billion to buy HEI.
>> HEI shareholders will b e paid $33.50 per share versus Wednesday’s closing price of $28.19.
>> NextEra will not lay off workers for two years.
>> Hawaiian Electric Co. will maintain the name and continue to be based in Honolulu.
NEXTERA ENERGY INC.
Juno Beach, Fla.
>> Employees: 13,900
>> Customers: 4.7 million
>> Market cap: $45.6 billion
>> CEO James Robo’s 2013 compensation: $10.5 million
HAWAIIAN ELECTRIC INDUSTRIES INC.
Honolulu
>> Employees: 3,966
>> Customers: 450,000
>> Market cap: $2.9 billion
>> CEO Constance Lau’s 2013 compensation: $3.77 million
And the lawyers didn't take long to jump on the deal...
Quote:
Law firms probe Hawaiian Electric deal
Two law firms say they are investigating whether shareholders could have gotten a better deal in the $4.3 billion sale of the utility company.
The New York-based Rosen Law firm and the San Diego-based Johson & Weaver, LLP announced separate investigations of the Hawaiian Electric Industries board for possible breaches of fiduciary duty and other alleged violations of securities law, by failing to adequately shop Hawaiian Electric Industries to maximize shareholder value, before agreeing to be acquired by NextEra Energy Inc.
However, some analysts believe NextEra paid too much for Hawaiian Electric.
Location: not sure, but there's a hell of a lot of water around here!
2,682 posts, read 7,577,356 times
Reputation: 3882
Maybe the lawyers can look into why rates have remained the same per KWH, yet WTI crude is at a new low from the high posted in July. Crude has dropped almost 40%, yet your electric bill?
Maybe the lawyers can look into why rates have remained the same per KWH, yet WTI crude is at a new low from the high posted in July. Crude has dropped almost 40%, yet your electric bill?
Not so much
I was thinking the same. What i heard on the news. Its going to be many years before we see any lowering of the rates, if at all?
Just received my Heco bill this week, its lower, but still up there. I account the lowering payment due to we're heading into winter and lower to no A/C usage. Will see what next month bill looks like.
Sounds like someone is taking advantage of the paradise tax if you ask me. But that is controled by supply and demand and what the market can bare? Bah lolo hogwash, lets call it what it is "greed".
I haven't checked but I bet HE is one of the more profitable electric companys
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