Vectren CEO: CenterPoint a "good partner"

Apr 25, 2018

Credit John Gibson

The head of Vectren says the utility company found a “good partner” in a Texas-based company. 

 

CenterPoint Energy – which is about twice the size of Vectren -- plans to buy the Evansville-based utility company in a $6 billion merger.

Vectren President and CEO Carl Chapman told reporters that CenterPoint shares values with the local company…

"Our communties, our customers, our employees, and our philanthropic efforts"

Chapman said the company's natural gas business will grow…

"And that operation's headquarters will be in Evansville, Indiana. And the person that's over that will be based in Evansville, so that's a very nice opportunity here to build some jobs around."

But Chapman said the merger will lead to overall job reductions…

"We did share with our employees in any merger there would likely be some reduction of force and that's pretty typical of any merger." 

Chapman couldn't say how many jobs may be lost.

He said the merger won’t have an immediate impact on utility bills, but rates could drop in the future…

"If you just think of the scale of the companies together, that combined scale ought to result in some lower rates for the longer term."

The transaction is expected to close in the first quarter of 2019, pending regulatory approvals.

 

Credit John Gibson