Dynegy subsidiary, Illinois Power Holdings (IPH) completed its acquisition of New Ameren Energy Resources (AER), an Ameren subsidiary. The transaction includes AER and its subsidiaries Ameren Energy Generating Company (Genco), New AERG (AERG), and Ameren Energy Marketing Company (AEM).
Dynegy now owns more than 8,000 megawatts (MW) of generating capacity in Illinois, and nearly 14,000 MW nationally. The AEM retail and marketing businesses, doing business as Homefield Energy, and the following plants are included in the transaction: Duck Creek, Coffeen, E.D. Edwards, Newton, and Joppa.
“This transaction creates value for Dynegy and IPH’s stakeholders – from employees to local communities to investors – as Dynegy, through its subsidiary IPH, brings a singular ability to operate these facilities in the most economic and environmentally compliant manner. The AER fleet and the Homefield Energy retail and marketing businesses are a natural fit with Dynegy’s existing generation fleet,” said Dynegy President and Chief Executive Officer Robert C. Flexon.
Flexon continued, “To date, we have identified synergies in excess of $75 million and we will continue to seek ways to further benefit from the increased scale of the combined fleet.”
Dynegy’s subsidiaries produce and sell electric energy, capacity and ancillary services in key U.S. markets. The Dynegy Power, LLC power generation portfolio consists of approximately 6,771 megawatts of primarily natural gas-fired intermediate and peaking power generation facilities. The Dynegy Midwest Generation, LLC portfolio consists of approximately 2,980 megawatts of primarily coal-fired baseload power plants. The Illinois Power Holdings, LLC portfolio consists of approximately 4,209 megawatts of primarily coal-fired baseload power plants. Homefield Energy is a retail electricity provider serving businesses and residents in Illinois.