"PG&E Nears Deal With KKR For Stake In Power Business Spinoff; California Utility Is Seeking Regulatory Approval To Sell KKR Part Of A New Company That Would House Most Of Its Power Generation Business" - WSJ
Portfolio Pulse from Benzinga Newsdesk
PG&E is close to selling a significant stake in its power generation business to KKR, aiming to fund wildfire prevention measures. The deal involves creating a new subsidiary, Pacific Generation, to house its hydroelectric, natural gas, solar, and battery facilities, of which 49.9% will be sold to KKR, pending regulatory approval.
April 30, 2024 | 8:41 pm
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PG&E's potential sale of a 49.9% stake in its power generation business to KKR could provide significant funding for wildfire prevention, pending regulatory approval.
The sale of a substantial stake in PG&E's power generation assets to KKR is likely to provide the utility with crucial funding for wildfire prevention measures. This move could be viewed positively by investors as it addresses a significant risk factor for the company. However, the deal's impact is contingent on regulatory approval, introducing a level of uncertainty.
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