logo
Share SHARE
FONT-SIZE Plus   Neg

WSJ : Vistra Energy In Buyout Talks With Dynegy

Vistra Energy Corp. has made a takeover approach to debt-laden rival Dynegy Inc. (DYN), the wall Street Journal reported citing people familiar with the matter.

The report said that the Texas power companies are in preliminary talks. It is far from guaranteed the talks will lead to a deal, but if they do, it would be sizable: Each company has a so-called enterprise value, including debt, of about $10 billion, according to S&P Capital IQ.

Dynegy itself soon ran into financial trouble, as investors fled energy-company stocks in the wake of Enron's accounting scandal. It recovered by selling assets and cutting costs. But the company filed for chapter 11 in 2012, hurt by sharp declines in power prices and a heavy debt load. The bankruptcy filing followed a takeover bid by private-equity firm Blackstone Group LP that fizzled amid opposition from Carl Icahn and other Dynegy shareholders. The company emerged from bankruptcy later in 2012 and has since done a number of debt-fueled acquisitions.

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Volkswagen plans to invest about 22.8 billion euros in its core brand from 2018 to 2022, with main focus on e-mobility and modularization. In a statement on Saturday, the German automaker announced that the investments, as part of the brand's Transform 2025+ strategy, will significantly boost the brand's largest product and technology offensive. Health IQ Insurance Services, a startup focused on providing life insurance for health-conscious individuals, said it has secured $34.6 million in Series C funding, led by Andreessen Horowitz. To date, the company has raised a total of $81 million in funding mostly from its existing investors. General Motors Co. is recalling nearly 49,000 trucks worldwide to fix a fuel tank issue that can increase the risk of a fire. The recall covers Chevrolet Silverado 3500 and GMC Sierra 3500 trucks from the 2011 through 2015 model years, all equipped with dual fuel tanks.
comments powered by Disqus
Follow RTT