• 4 minutes Europeans and Americans are beginning to see the results of depending on renewables.
  • 7 minutes Is China Rising or Falling? Has it Enraged the World and Lost its Way? How is their Economy Doing?
  • 13 minutes NordStream2
  • 24 hours Monday 9/13 - "High Natural Gas Prices Today Will Send U.S. Production Soaring Next Year" by Irina Slav
  • 1 hour California to ban gasoline for lawn mowers, chain saws, leaf blowers, off road equipment, etc.
  • 1 day "Here is The Hidden $150 Trillion Agenda Behind The "Crusade" Against Climate Change" - Zero Hedge re: Bank of America REPORT
  • 1 day GREEN NEW DEAL = BLIZZARD OF LIES
  • 3 days "A Very Predictable Global Energy Crisis" by Irina Slav --- MUST READ
  • 7 hours U.S. : Employers Can Buy Retirement Security for $2.64 an Hour
  • 3 days An Indian Opinion on What is Going on in China
  • 12 hours Nord Stream - US/German consultations
  • 3 days Can Technology Keep Coal Plants Alive and Well?
  • 4 days Succession Planning in Human Resources for Vaccinated Individuals in the Oil & Gas Industry
  • 6 days Perfect Energy Storm in Europe: turning our back on fossil fuels is easier said than done!
  • 4 hours Australia sues Neoen for lack of power from its Tesla battery
  • 3 days Storage of gas cylinders
  • 4 days Two Good and Plausible Ideas about Saving Water and Redirecting it to Where it is Needed.
3 Tech Stocks That Could Change The World

3 Tech Stocks That Could Change The World

Technology is changing everything we…

Buffett Won’t Go Higher than $9B For Oncor Utility Giant

Berkshire Hathaway Energy is standing by its US$9-billion offer to buy 80 percent of Texas-based Oncor Electric Delivery Company and will not be raising the offer, Warren Buffett’s company said on Wednesday.

The statement comes amid a bidding war with Elliott Management for Oncor’s parent company, Energy Future Holdings, which filed for Chapter 11 restructuring earlier this year.

“We appreciate the continued opportunity to collaborate with many stakeholder groups in Texas and thank them for their outstanding support, which sets our offer apart from any other bid,” Greg Abel, Berkshire Hathaway Energy chairman and CEO, said in the statement.

“We’re committed to being an exceptional long-term partner in Texas and our simple, straightforward deal is good for Oncor, its customers and the state,” the manager noted.

“We already have a number of excellent companies operating in Texas. It is a great place to do business, and we look forward to continuing to invest in the state,” Warren Buffett said.   

Berkshire is pitching its acquisition offer as straightforward and gaining growing support among influential stakeholder groups in Texas.

Elliott, on the other hand, is the biggest creditor of Oncor’s parent Energy Future Holdings and has offered US$9.3 billion. Elliott’s offer implies a total enterprise value for Oncor of US$18.5 billion, including debt. This compares with Berkshire’s valuation of US$18.1 billion. 

Related: Oil Rises, But Saudis Face Daunting Dilemma

Elliott has been buying up the debt of Energy Future Holdings in recent months, and has bought a different class of impaired notes from Fidelity Investments, which makes any deal with Energy Future Holdings contingent on Elliott approval, The Wall Street Journal reported on Wednesday, citing people familiar with the matter.

According to The Journal’s sources, Elliott now controls all the impaired classes of Energy Future Holdings debt, and has told the court that it would not endorse the Berkshire acquisition offer as-is.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News