FERC OKs Dynegy Purchase Of GDF Suez Generation, Divestiture Proposal

FERC has approved a transaction under which Dynegy will acquire 9,017 megawatts of generation capacity from Engie (f/k/a GDF Suez), accepting the mitigation proposal from Dynegy

See background here on what was originally the acquisition of the Engie plants by a Dynegy-Energy Capital Partners (Atlas) JV. Dynegy has since entered into a transaction to acquire Energy Capital Partners' interest in Atlas (details here)

FERC accepted as mitigation the prior divestiture of Dynegy’s 50 percent interest in the Elwood generating station in the COMED LDA in PJM as sufficient to alleviate the competitive concerns in the COMED LDA in PJM resulting from the GDF Suez transaction. FERC did not require mitigation beyond the Elwood sale in the COMED LDA.

FERC accepted Dynegy's proposal to divest at least 224 MW in the SENE capacity zone in ISO-NE, which alleviates concerns regarding the degree to which Dynegy will be pivotal following consummation of the transactions.