SALT LAKE CITY — The state’s largest natural gas supplier has agreed in principal to be acquired by a mid-Atlantic energy corporation.
Questar Corp. announced Monday that the utility would be purchased by Dominion Resources Inc., which is based in Richmond, Virginia. The combined company would serve about 2.5 million electric customers and 2.3 million natural gas customers in seven states.
Dominion has agreed to pay Questar shareholders approximately $4.4 billion — $25 per share — and assume the company’s outstanding debt, according to a statement. The deal still requires approval by Questar shareholders and also has to clear a number of regulatory hurdles before becoming final, which is expected to happen by year’s end, said Dominion spokesman Ryan Frazier.
Questar currently serves almost 1 million homes and businesses in Utah, Wyoming and Idaho, while Dominion — one of the nation’s largest energy companies — provides electric and natural gas service throughout the mid-Atlantic region.