Ameren, based in St Louis, Missouri, first agreed to sell the 410-megawatt Duck Creek, 650MW E D Edwards, 895MW Coffeen, 1,197MW Newton and 1002MW Joppa coal plants to Dynegy in March.
Dynegy now owns more than 8000MW of generating capacity in Illinois, and nearly 14,000MW across the US. In all, it now owns nine coal-fired facilities.
“This transaction creates value for Dynegy and IPH’s stakeholders - from employees to local communities to investors - as Dynegy, through its subsidiary IPH, brings a singular ability to operate these facilities in the most economic and environmentally compliant manner,” Dynegy president and chief executive officer Robert Flexon said.
“The AER fleet and the Homefield Energy retail and marketing businesses [also included in the deal] are a natural fit with Dynegy’s existing generation fleet.
“To date, we have identified synergies in excess of $75 million and we will continue to seek ways to further benefit from the increased scale of the combined fleet.”
The transaction is Ameren’s official exit from the merchant generation business, making good on a December 2012 announcement that it would sell off its units to focus on regulated operations in Illinois as well as Missouri.
It said earlier this year that it had expected the deal to close before the end of December.
