CenterPoint Energy closes on agreement to acquire retail energy services business from subsidiary of Atmos Energy Corporation
HOUSTON, Jan. 3, 2017 /PRNewswire/ -- CenterPoint Energy Services, Inc. (CES), an indirect, wholly-owned subsidiary of CenterPoint Energy, Inc. (NYSE:CNP), has closed on a previously announced agreement to acquire Atmos Energy's retail energy services business, Atmos Energy Marketing, LLC (AEM).
"This is an exciting time for our CES business," said Joe Vortherms, vice president of CES. "This transaction is a strategic fit for both CES and AEM, and the acquisition will enable CES to more effectively access new markets and customer segments, grow our customer base and gross margins, and maintain our low value-at-risk, cost-effective organizational structure. AEM's complementary operational and geographic footprints will provide CES with increased scale, geographic reach, and expanded capabilities that will enable it to grow, while maintaining a focus on excellent customer service."
"Energy Services is an integral part of our company that allows us to provide gas purchase options to CenterPoint's growing customer base," said Scott Prochazka, president and chief executive officer of CenterPoint Energy. "AEM is a key investment that will allow us to expand our footprint and build scale to better serve our current and future customers."
With the addition of this business, CES now operates in six additional states for a total of 32 states and will deliver in excess of 1 trillion cubic feet of natural gas to approximately 100,000 customers annually, including 33,000 metered commercial and industrial customers and 65,000 individual Choice retail customers.
CenterPoint Energy
CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution and energy services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma, and Texas. The company also owns a 54.1 percent limited partner interest in Enable Midstream Partners, a publicly traded master limited partnership it jointly controls with OGE Energy Corp., which owns, operates and develops natural gas and crude oil infrastructure assets. With more than 7,800 employees, CenterPoint Energy and its predecessor companies have been in business for more than 140 years. For more information, visit the website at www.CenterPointEnergy.com.
CenterPoint Energy Services
CES is an indirect, wholly-owned subsidiary of CenterPoint Energy, an electric and natural gas energy delivery company headquartered in Houston with more than 140 years of experience in the utility and retail energy industry. CES is focused on its low value-at-risk commercial retail business. CES is a profitable business that complements CenterPoint Energy's natural gas distribution business by providing gas purchase options to customers across multiple states. Combined, CES and the company's natural gas distribution business deliver more than one trillion cubic feet of natural gas a year.
Forward Looking Statements
This news release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements, which include the ability of CES to access new markets and customer segments, its footprint, expanded capabilities, customer growth and future customer count and the impact on future earnings, gross margin and future operations, are based upon assumptions of management which are believed to be reasonable at the time made and are subject to significant risks and uncertainties. Actual events and results may differ materially from those expressed or implied by these forward-looking statements. Any statements in this news release regarding future earnings, growth, performance, results of operations and any other statements that are not historical facts are forward-looking statements. Each forward-looking statement contained in this news release speaks only as of the date of this release. Factors that could affect actual results include (1) factors related to our business and the economy, including commodity prices, (2) the performance of the companies, (3) competitive conditions in the industry, (4) state and federal legislative and regulatory actions or developments affecting various aspects of the businesses and (5) other factors discussed in CenterPoint Energy's Annual Report on Form 10-K for the fiscal year ended December 31, 2015, as well as in CenterPoint Energy's Quarterly Report on Form 10-Q for the quarters ended March 31, 2016, June 30, 2016, and September 30, 2016, and other reports on Form 8-K CenterPoint Energy or its subsidiaries may file from time to time with the Securities and Exchange Commission.
For more information contact
Media:
Leticia Lowe
Phone 713.207.7702
Investors:
David Mordy
Phone 713.207.6500
SOURCE CenterPoint Energy, Inc.
Share this article