The Oklahoma Corporation Commission has granted final approval to Fortis Inc.’s application to acquire ITC Holdings Corp. for $11.3 billion, according to a company press release. The deal is expected to close by the end of the year.
“The Oklahoma Corporation Commission plays an important role in protecting the interests of all Oklahomans,” said Barry Perry, President and Chief Executive Officer of Fortis. “We are pleased with the approval from the OCC, and look forward to continuing to serve the transmission needs of the State of Oklahoma.”
“The acquisition of ITC – a premier pure-play transmission utility – is a continuation of (our) growth strategy,” said Perry in an earlier statement. “ITC not only further strengthens and diversifies our business, but it also accelerates our growth.”
Based in Canada, Fortis is a leader in the North American electric and gas utility business.
“We appreciate the work by the Commissioners and staff throughout this process,” said Joseph L. Welch, Chairman, President and Chief Executive Officer of ITC. “We remain committed to the State of Oklahoma and look forward to continued discussions to grow our business across the State.”
Based in Topeka, Kansas, ITC Great Plains is a subsidiary of ITC Grid Development, LLC, a wholly-owned subsidiary of ITC Holdings Corp., the nation’s largest independent electricity transmission company based in Novi, Michigan. ITC Great Plains holds transmission-only utility status in Oklahoma and Kansas, with authority to construct, own, operate and maintain a regulated, high-voltage transmission system, according to the company’s website.
ITC’s grid development focused on growth through regulated infrastructure investment in order to build a more robust electricity transmission system providing access to reliable, non-discriminatory, competitive and low-cost energy throughout the Southwest Power Pool region.
The proposed acquisition received approval by Fortis shareholders in May and ITC shareholders in June. On July 8, the Committee on Foreign Investment in the United States approved the acquisition. The acquisition closing remains subject to other regulatory authorizations including other state approvals.