AEP Launches Sale Process For Retail Energy Business & Distributed Resources Business

AEP announced that it is launching a sale process for its retail energy business, AEP Energy, and its distributed resources business

"We've launched a sale process for our AEP Energy retail and AEP OnSite Partners distributed resources businesses as well as our 50% share in the New Mexico Renewable Development joint venture. In addition, we are reviewing certain non-core transmission joint ventures, including AEP's ownership interests in Prairie Wind Transmission, Pioneer Transmission and Transource Energy to determine if our current stake in these businesses fits with our long-term plan. Active review of our portfolio allows us to continue prioritizing investment in our regulated utilities to enhance service for our customers," said Julie Sloat, AEP president and chief executive officer.

AEP Energy provides various retail energy and other solutions in Illinois, Pennsylvania, Delaware, Maryland, New Jersey, Ohio and Washington, D.C.

According to AEP's recent annual report, AEP Energy had approximately 736,000 customer accounts as of December 31, 2022

The Book value of AEP’s investment as of 3/31/2023 is $200M for the retail energy business and $350M for the distributed resources business

The assets' EPS contributions in 2023 operating guidance is as follows: $0.04 for Retail and $0.02 for Distributed Resources

AEP said that an advisor has been hired, with a sale launch in Summer 2023, with a transaction close anticipated in the first half of 2024

This is a breaking news alert. AEP is holding a conference call later today. Check back with EnergyChoiceMatters.com for more