Chesapeake Utilities, Florida Public Utilities deal granted approvals

By Lisa Kerner

Charlotte, N.C., July 21 - Chesapeake Utilities Corp. said it has received all required public service commission regulatory approvals for its proposed merger with Florida Public Utilities Co.

The merger was approved by the Delaware Public Service Commission, the Maryland Public Service Commission and the Florida Public Service Commission, a Chesapeake news release said.

Approval by the Federal Energy Regulatory Commission is not required.

While the Hart-Scott-Rodino waiting period has expired, Chesapeake said that doesn't preclude the Department of Justice and the Federal Trade Commission from challenging the merger on antitrust grounds.

Chesapeake expects the merger to close in the fourth quarter.

The company said its next steps are to file its joint proxy with the Securities and Exchange Commission, register its shares to be issued in the merger and file its listing application with the New York Stock Exchange.

Florida and Chesapeake announced in April they would combine in an all-stock transaction valued at approximately $74 million.

As previously reported, Florida shareholders will receive 0.405 shares of Chesapeake common stock for each share of Florida they hold.

Chesapeake Utilities is a Dover, Del.-based diversified utility company.

Florida Public Utilities distributes natural gas, propane and electricity to residential, commercial and industrial customers in Florida. The company is based in West Palm Beach, Fla.

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