FirstEnergy sells a 30% share in transmission subsidiary for $3.5 billion

– FirstEnergy completes sale of 30% ownership interest in FET to Brookfield for $3.5 billion
– $2.3 billion received at closing, remaining $1.2 billion in notes to be paid off by end of 2024
– Proceeds to be used to support $26 billion Energize365 grid investment program

FirstEnergy has completed the sale of an additional 30% ownership interest in its FirstEnergy Transmission subsidiary to Brookfield Super-Core Infrastructure Partners for $3.5 billion. The Ohio-based electric utility company received $2.3 billion in cash proceeds at closing, with the remaining $1.2 billion in interest-bearing notes due from Brookfield. Some proceeds from the transaction will support FirstEnergy’s five-year, $26 billion Energize365 grid investment program. This transaction follows Brookfield’s purchase of a 19.9% ownership interest in FET for $2.4 billion in 2022. Since late 2021, FirstEnergy has completed approximately $7 billion in strategic equity financings.

FirstEnergy President and CEO Brian X. Tierney stated that with the successful completion of the transaction, the company is entering a new era of financial strength and growth. He expressed satisfaction in using this strong foundation to invest in delivering reliable and safe power to customers and addressing future energy challenges. These developments were originally reported by Sean Wolfe in Power Grid.

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