HARRISBURG – The Pennsylvania Public Utility Commission (PUC) today approved the transfer of PPL Electric Utilities Corporation’s (PPL EU) indirect ownership interests in PPL Interstate Energy Company (PPL IEC) to a new entity called Talen Energy Corporation (Talen Energy). The approval also authorized the acquisition by Riverstone Holdings LLC of an indirect 35 percent ownership interest in Talen Energy.
The Commission voted 5-0 to approve the Joint Application and the Joint Petition for Settlement between PPL EU and PPL IEC. The approval provides the parties with all necessary authority to complete the PUC-jurisdictional aspect of the transaction. Chairman Robert F. Powelson issued a motion to approve the application, noting a technical modification needed in the Recommended Decision.
This transaction is part of a larger spinoff, during which PPL Corporation will transfer its electric generation and retail electric and gas supply business lines – PPL Energy Supply LLC; PPL EnergyPlus LLC; and PPL Generation LLC, which owns PPL IEC – to the shareowners of PPL Corporation, and will immediately combine with the competitive generation assets controlled by Riverstone Holdings LLC. The spinoff will result in a newly formed entity, Talen Energy.
PPL Electric Utilities, which provides electric distribution service to approximately 1.4 million customers in Pennsylvania, is not affected by this transaction.
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Docket Nos. A-2014-2435752, A-2014-2435833