SEMPRA TO GET NATIONAL GAS SOURCE.Byline: George Stein Bloomberg News Sempra Energy Sempra Energy NYSE: SRE is a San Diego, California-based energy services holding company that was founded in 1998. Sempra owns the Southern California Gas Company, San Diego Gas & Electric, Sempra Commodities, and Sempra Generation. , the largest U.S. natural-gas utility, agreed to buy KN Energy Inc. for about $5 billion in stock, cash and assumed debt, giving it a nationwide network of gas pipelines. Sempra will exchange 1.115 shares of its stock, $25 cash or a combination of cash and stock for each KN Energy share. The offer is a 29 percent premium to KN Energy's close Thursday, before it surged on speculation about a buyout. Owning KN Energy will give San Diego-based Sempra a national source of natural gas for its power plants as tougher clean-air laws increase the fuel's use in generating electricity. Sempra, formed in June when Enova Corp. bought Pacific Enterprises for $4.5 billion in stock and assumed debt, owns utilities with more than 6 million gas and electric customers in Southern California Southern California, also colloquially known as SoCal, is the southern portion of the U.S. state of California. Centered on the cities of Los Angeles and San Diego, Southern California is home to nearly 24 million people and is the nation's second most populated region, . ``By owning pipelines, it's more convenient to supply gas to fuel Sempra's power plants,'' said Zach Wagner, an analyst at Edward Jones Edward, Eddie, or Ed Jones is the name of: Edward Jones:
News of the transaction, along with Dominion Resources Dominion NYSE: D (formerly Dominion Resources) is a power and energy company headquartered in Richmond, Virginia, USA, that supplies electricity, natural gas, or other energy services to homes in Virginia, West Virginia, Ohio, Pennsylvania, and eastern North Carolina. Inc.'s agreement to buy Consolidated Natural Gas Co. for $8.07 billion, boosted the shares of other gas companies that are seen as potential takeover targets. Sempra owns Southern California Gas This article or section needs sources or references that appear in reliable, third-party publications. Alone, primary sources and sources affiliated with the subject of this article are not sufficient for an accurate encyclopedia article. Co. and San Diego San Diego (săn dēā`gō), city (1990 pop. 1,110,549), seat of San Diego co., S Calif., on San Diego Bay; inc. 1850. San Diego includes the unincorporated communities of La Jolla and Spring Valley. Coronado is across the bay. Gas & Electric, and has said it would pursue less-regulated businesses that promise higher returns. While California deregulated its electricity market, Sempra's biggest business is gas sales, which aren't open to competition. And Sempra's electric utility makes most of its money from fees charged for shipping power on its wires, fees that still are set by regulators. |
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