Duke Energy to buy Piedmont Natural Gas for $4.9 billion

Posted October 26, 2015

Duke Energy logo

— Duke Energy announced Monday it plans to buy Piedmont Natural Gas for approximately $4.9 billion in cash, a deal that is expected to be complete by the end of 2016.

Piedmont will retain its name, operate as a business unit of Duke Energy and maintain its presence and headquarters in southeast Charlotte.

The companies are partners in the $5 billion Atlantic Coast Pipeline that will be the first major natural gas pipeline to serve eastern North Carolina.

"This is an exciting moment for Piedmont Natural Gas, its shareholders, customers and employees," Tom Skains, chairman, president and CEO of Piedmont Natural Gas, said in a statement. "The strategic combination of our two companies will deliver compelling value to our shareholders, greatly expand our platform for future growth, enhance our ability to provide excellence in customer service and give our employees more opportunities in one of the largest energy companies in the United States."

When the deal is complete, Piedmont shareholders will receive $60 in cash for each share of Piedmont Natural Gas common stock.

Duke Energy will assume approximately $1.8 billion in Piedmont Natural Gas existing net debt, representing a total enterprise value of approximately $6.7 billion.

Duke Energy will add one member of Piedmont’s board of directors to its board after the transaction is closed. An existing member of Piedmont’s management team will lead Duke Energy’s natural gas operations in the Carolinas, Tennessee, Ohio and Kentucky.

"We look forward to welcoming Piedmont's employees and 1 million customers in the Carolinas and Tennessee to Duke Energy," Lynn Good, president and CEO of Duke Energy, said in a statement. "This combination provides us with a growing natural gas platform, benefiting our customers, communities and investors."


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  • John Murphy Oct 27, 2015
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    There goes the neighborhood

  • Tom Laurence Oct 26, 2015
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    The size of this Conglomerate continues to grow. Have the regulatory agencies approved this? Oh yes...... CHA CHING$$

  • Larry Wiandt Oct 26, 2015
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    Don't worry Duke will jack up the price of natural gas to at least if not more than propane.

  • Erika Phipps Oct 26, 2015
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    Trying to look on the bright side - that MAYBE they'll bring natural gas to more rural areas for those of us hammered by the cost of propane each winter.

  • Arthur Raleigh Oct 26, 2015
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    Ok ok ok. Too big. Too much control of energy for a region. Monopoly-yes!

  • Mary O'Shields Oct 26, 2015
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    I hope the utilities commission will stop this purchase. At the rate it's going, Duke Energy will gobble up all the energy sources in NC. How do you define "monopoly"?

  • Amy Singleton Oct 26, 2015
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    Does it matter what Duke tells THEIR Utility Commission. A gaggle of crony industry insiders who have zero interest in regulating beyond their vision of cushy positions and retirements after doing Dukes bidding? Don't pretend there's oversight.

  • Hari Nootsak Oct 26, 2015
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    Duke Energy is a shareholder owned culpable monopolistic public utility screwing customers & wooing NC Util Commission. Good luck NC you're not Reddy!

  • Sally Bethune Oct 26, 2015
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    What happened to monopoly laws? This is totally inappropriate. As a PNC customer I will most definitely expect the service to go down and the rates to go up!

  • Rowland Carroll Oct 26, 2015
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    I wonder what lies Duke Energy is going to tell to he Utilities Commission this time? I hope the CEO for Piedmont isn't planning on being around very long !