Emera (TSX:EMA) recently said that it has gained a key regulatory approval for its acquisition of Tampa-based TECO Energy (NYSE:TE).
Nova Scotia-based Emera said March 23 the Committee on Foreign Investment in the United States (CFIUS) has completed its review of the TECO deal and has determined that there are no unresolved national security concerns with respect to the acquisition.
Completion of the review by CFIUS was one of the Acquisition closing conditions.
CFIUS is an inter-agency committee authorized to review transactions that could result in control of a U.S. business by a foreign person in order to determine the effect of such transactions on the national security of the United States.
The agreement received TECO Energy shareholder approval in December 2015, approval from the Federal Energy Regulatory Commission (FERC) in January 2016, and the expiration of Hart-Scott-Rodino waiting period in February 2016.
The closing of the transaction remains subject to certain other regulatory and government approvals, including approval by the New Mexico Public Regulation Commission and the satisfaction of customary closing conditions.
Emera has proposed a $10.4bn takeover of TECO, a Florida-based company that among other things owns utility Tampa Electric. Emera announced plans to buy TECO last September.
Emera is a publicly-traded utility holding company headquartered in Halifax, Nova Scotia, Canada. Emera holds interests in companies which, among other things, engage in the electric utility, electric generation, natural gas trading, and pipeline businesses in Canada, the United States and the Caribbean.