The U.S. Bankruptcy Court has approved Edison Mission Energy's (EME) proposed sale of substantially all of EME's assets to NRG Energy Inc.
Under the approximately $2.64 billion deal, NRG will acquire EME's 8 GW conventional and renewable generation portfolio throughout the U.S., which consists of about 1.7 GW of wind power assets. NRG currently has about 450 MW of wind power in its portfolio, and the company claims the acquisition will make it the largest competitive U.S. power company, with about 53.6 GW of overall generating capacity.
In December 2012, EME and several of its subsidiaries filed voluntary petitions under Chapter 11 of the U.S. Bankruptcy Code. According to Edison International, EME's parent company, this deal and a reorganization plan will allow EME to emerge from bankruptcy free of liabilities and remain a subsidiary.
NRG expects to close the transaction by the end of the fourth quarter, following approval from the Federal Energy Regulatory Commission.