By Lydia Tomkiw -
In a $4.9 billion deal, Duke Energy Corp (N:DUK). said it would acquire Piedmont Natural Gas Co., the Wall Street Journal reported Monday. Duke Energy was expected to gain one million natural gas customers in the deal.
“We look forward to welcoming Piedmont’s employees and 1 million customers in the Carolinas and Tennessee to Duke Energy,” said Lynn Good, CEO of Duke Energy.
Duke Energy is the U.S.’s largest power company by generation capacity. The company offered $60 a share for Piedmont, according to Reuters. Piedmont’s shares were up 17 percent while Duke rose by 2 percent Monday. Duke will assume $1.8 billion in Piedmont debt.
The increase in American shale production in recent years has led power companies to add to their natural gas capacities.