The transactions involving international acquirers or investors discussed earlier in this article were approved by a total of twenty-two U.S. state regulatory commissions and FERC.
State Approvals Since 2010
Source: Concentric Energy Advisors, Inc. research
The state regulatory proceedings associated with transactions involving an international buyer are generally consistent with those involving a U.S. buyer. As discussed in Recent Trends in Utility Mergers: Standards of Review, the predominant standard of review is the “public interest” standard regardless of whether the acquirer is a U.S. company or an international company. How this standard is applied differs by state and sometimes by transaction within a state. As discussed in Recent Trends in Utility Mergers: Regulatory Commitments and Conditions, regulatory commitments and conditions are based on the facts and circumstances unique to that merger. Regulators will consider the corporate location of the ultimate parent company but ultimately focus on local control considerations.
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