Cases & Deals

The Southern Company acquires AGL Resources for $12 billion

Clients Southern Company

Jones Day advised The Southern Company (NYSE: SO) in connection with the acquisition and related financing of AGL Resources (NYSE: GAS) in a cash transaction with an enterprise value of approximately $12 billion, including total equity value of approximately $8 billion.

The transaction was structured as a reverse triangular merger pursuant to which AGL became a wholly owned subsidiary of Southern. As part of the transaction, Southern received a financing commitment from Citigroup Global Markets Inc. and put long-term financing in place prior to the closing of the transaction.

Under the terms of the agreement, AGL's shareholders received $66 in cash for each share of AGL common stock. This represents a premium of 36.3 percent to the volume-weighted average stock price of AGL over the last 20 trading days ended August 21, 2015. The merger creates America's leading electric and gas utility and creates the second-largest utility company in the U.S. by customer base.

In addition to M&A representation, Jones Day provided employee benefits, antitrust, and environmental advice regarding this transaction.

We use cookies to deliver our online services. Details of the cookies and other tracking technologies we use and instructions on how to disable them are set out in our Cookies Policy. By using this website you consent to our use of cookies.