November 24, 2024
Report: Evergy Rebuffs NextEra Energy Bid
© RTO Insider
Evergy rebuffed NextEra's bid to acquire it in a $15 billion all-stock acquisition, according to Reuters.

NextEra Energy has been rebuffed in a bid to acquire another utility, according to a media report.

Reuters quoted “people familiar with the matter” in saying that NextEra had made a $15 billion all-stock acquisition for Evergy.

The sources said Evergy, which serves 1.6 million customers in Kansas and Missouri, turned down the offer in recent days. They said it was unclear whether NextEra will make a new offer.

According to Reuters, NextEra’s bid valued Evergy in the mid $60s/share, a price Evergy said was inadequate.

Nextera Evergy
NextEra Energy’s headquarters facility in Juno Beach, Fla. | © RTO Insider

Evergy’s share price spiked from $56.85 to $62.53 on Monday before closing at $57.99. The stock remained active in after-hours trading, gaining another 36 cents.

NextEra and Evergy were linked by market rumors in April. Evergy, created in 2018 by the merger of Kansas City Power and Light and Westar Energy, has been under pressure from activist shareholder Elliott Management to consider a sale. (See NextEra Said to be Eyeing Evergy as Acquisition Target.)

Evergy explored purchases by several companies this summer but called off the effort in August and said it would remain a standalone company. (See Evergy Releases Standalone Plan Details.)

Florida-based NextEra was rejected by Duke Energy in October when its offer of a mega-merger was rejected. NextEra also came up short in acquiring Texas’ Oncor in 2016.

Both NextEra and Evergy have declined to comment on the acquisition.

NextEra’s shares opened Monday’s trading at $81.09, a 7.1% increase from its Friday close, but closed the day down at $75.51. It rose to $76.10 in after-hours trading.

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