Hydro One Inc. will pay the City of Peterborough $105 million for the acquisition. The agreement to acquire the business and distribution assets of Peterborough Distribution Inc. (PDI) from the City of Peterborough, ON.
TORONTO, August 1, 2018 – Hydro One Inc. (“Hydro One”) announced today that it has reached a definitive agreement to acquire the business and distribution assets of Peterborough Distribution Inc. (PDI) from the City of Peterborough, ON. Hydro One will pay the City of Peterborough $105 million for the transaction.
“Hydro One looks forward to welcoming the customers and employees of Peterborough Distribution to our family,” said Patrick Meneley, Executive Vice President and Chief Corporate Development Officer, Hydro One. “This merger is structured to benefit all stakeholders and provides us the opportunity to leverage our scale to positively impact istribution rates and quality of service. Hydro One has served customers around Peterborough for many years and we look forward to extending our service and growing our operations in the vibrant communities in and around Peterborough.”
Peterborough Distribution, located in east central Ontario, serves approximately 37,000 customers in Peterborough, Lakefield and Norwood. The proposed transaction is the result of extensive discussions between Hydro One and the City of Peterborough regarding the sale of the utility
Hydro One also announced a separate agreement to construct an operations centre and fleet maintenance facility within Peterborough.
“Hydro One’s investment in Peterborough secures its existing jobs in our community, provides guarantees for Peterborough Distribution workers, and creates new jobs through the opening of a new regional operations centre in Peterborough,” said Peterborough Mayor Daryl Bennett. “I look forward to Hydro One providing the same high-quality electricity distribution services as Peterborough Distribution Inc., benefiting customers and supporting growth in our community.”
The acquisition is conditional upon the satisfaction of customary closing conditions and approval of the Ontario Energy Board (OEB) and the Competition Bureau. Establishing facilities within Peterborough will also require approval by the OEB.
For further information:
Omar Javed, Vice President, Investor Relations