Utility operator Exelon on Wednesday agreed to buy Pepco Holdings for $6.8 billion, adding utilities in New Jersey, Delaware, Maryland and Washington to its portfolio. Via the New York Times, the acquisition falls in line with Exelon’s strategy of seeking steady returns and cutting costs through growth. It made a similar move three years ago when it purchased Constellation Energy for $7.9 billion. The combined businesses will serve approximately 10 million customers and have a rate base of $26 billion.
Pepco Holdings Chairman and CEO Joseph M. Rigby will continue to serve in his current role until the acquisition is complete. Rigby in January announced his plans to retire in the first half of 2015.
