Southern Company To Acquire Parent of Retail Suppliers

Southern Company and AGL Resources today announced that the boards of directors of both companies have approved a definitive merger agreement

Pursuant to the agreement, AGL Resources will become a new wholly owned subsidiary of Southern Company in a transaction with an enterprise value of approximately $12 billion, including a total equity value of approximately $8 billion.

After closing, AGL Resources will continue to maintain its own management team and board of directors, and AGL Resources will continue to maintain its own corporate headquarters

AGL Resources currently owns a large majority stake in (and/or outright) retail suppliers which do business under the SouthStar Energy Services, Georgia Natural Gas, and other brands, as well as a home protection and repair company.

Southern Company will also acquire AGL utilities offering retail choice in Georgia (AGL), Illinois (Nicor), Florida (Florida City Gas), and New Jersey (Elizabethtown Gas), and additional AGL natural gas utilities offering transportation programs.