The following commentary comes from an independent investor or market observer as part of TheStreet's guest contributor program, which is separate from the company's news coverage.NEW YORK (Trefis) -- Duke Energy's (DUK - Get Report) shareholders voted for the proposed merger with Progress Energy (PGN), one of the prime competitors of the company. The proposal for the merger was floated back in January this year. Below, we take a look at the highlights of the proposed merger. Duke Energy is one of the largest electric utilities in the U.S. along with approximately 35,000 megawatts of electric generating capacity in the Carolinas and the Midwest as well as natural gas distribution services in Ohio and Kentucky. Its competitors include companies like Exelon Energy and Allegheny Energy ( AYE).

Our price estimate for Duke is at $18.90, which is in line with the current market price.

Duke Energy will pay $28 billion for the acquisition of Progress Energy, which implied a close to 6% premium to Progress Energy's value in January. Duke Energy shareholders will own approximately 63% of the combined company and Progress Energy shareholders will own approximately 37% on a fully diluted basis. The shareholders of Progress Energy will receive 2.6125 shares of common stock of Duke Energy in exchange for each share of Progress Energy.

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The merged entity will be called Duke Energy, which is estimated to be worth $65 billion in enterprise value and $37 billion in market capitalization. The entity will have country's largest regulated customer base, providing service to approximately 7.1 million electric customers in six regulated service territories North Carolina, South Carolina, Florida, Indiana, Kentucky and Ohio. The entity will have approximately 57 gigawatts of domestic generating capacity from a diversified mix of coal, nuclear, natural gas, oil and renewable resources along-with having the largest regulated nuclear power generation capacity.

The merger will help the companies reduce their environmental footprint and increase efficiency by the development of new technology. However, with the merger, there will be significant downsizing in the number of the employees that both the companies have.

Final Approvals Still Under Way

Meanwhile, the merger has gained the desired regulatory approvals, including the Kentucky Public Service Commission and the recommendation from proxy advisory firms -- ISS Proxy Advisory Services and Glass, Lewis & Co. The merger has also satisfied the Federal Trade Commission and U.S. Department of Justice review and the Federal Communications Commission has approved the transfer of the Progress Energy licenses to Duke Energy. The shareholders of the respective companies were also quite enthusiastic about the deal, with more than 90% of the shareholders of Progress Energy voting in the favor of the deal and more than 90% of shareholders of Duke Energy supporting it too.

Other formalities for the merger to be completed are -- the merger-related hearings, scheduled for Sept. 20 by the N.C. Utilities Commission and a procedural schedule for the Public Service Commission of South Carolina Commission, which is expected shortly. The Federal Energy Regulatory Commission and the Nuclear Regulatory Commission are expected to issue rulings this fall. The merger is expected to be complete by the end of the year.

See our complete coverage of Duke Energy.

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This commentary comes from an independent investor or market observer as part of TheStreet guest contributor program. The views expressed are those of the author and do not necessarily represent the views of TheStreet or its management.