The Federal Energy Regulatory Commission (FERC) today approved the proposed merger of Exelon Corporation (NYSE:EXC) and Constellation Energy (NYSE:CEG). Exelon and Constellation plan to complete the merger this coming Monday, March 12.
“We are pleased that the FERC has approved our merger with Constellation,” said Exelon President and COO Christopher M. Crane, who will become president and CEO of Exelon upon closing of the merger. “FERC’s approval is the final regulatory requirement to completing the transaction. We look forward to combining our operations and becoming one company.”
“We are pleased to now be able to proceed with this transaction and unite our two companies,” said Mayo A. Shattuck III, chairman, president and CEO of Constellation, who will become executive chairman of Exelon upon closing of the merger.
Consistent with Exelon and Constellation’s application for approval filed with FERC on May 20, 2011, the companies have committed to divesting three Constellation Energy generating stations in Maryland totaling 2,648 megawatts (MW) of generating capacity. They also agreed to sell 500 MW of baseload energy under contracts that will extend until 2015.
The transaction has been approved by shareholders of Exelon and Constellation. Required regulatory approvals or reviews have been completed by the Maryland Public Service Commission, New York Public Service Commission, the Public Utility Commission of Texas, the Department of Justice and the Nuclear Regulatory Commission.
Exelon Corporation is one of the nation’s largest electric utilities with approximately $19 billion in annual revenues. The company has one of the industry’s largest portfolios of electricity generation capacity, with a nationwide reach and strong positions in the Midwest and Mid-Atlantic. Exelon distributes electricity to approximately 5.4 million customers in northern Illinois and southeastern Pennsylvania and natural gas to approximately 494,000 customers in the Philadelphia area. Exelon is headquartered in Chicago and trades on the NYSE under the ticker EXC.