ML&P offer still stands after release of confidential muni report
A spokesperson for Chugach Electric Association (CEA) says the non-profit's $1 billion offer to purchase Anchorage Municipal Light and Power Utilities (ML&P) remains unchanged, following release of a confidential study commissioned by the Municipality of Anchorage.
The study by Goldman Sachs valued ML&P between $707 million and $1.1 billion. Chugach Electric had not seen the report prior to setting its purchasing price.
"We believe our offer is consistent with that evaluation," said Julie Hasquet, a spokesperson for CEA, adding that if payment in lieu of taxes are deducted from the equation, it places the overall price tag in the "sweet spot," within the Goldman Sachs range.An ordinance approved by Assembly members Tuesday requires voter approval to authorize the sale for fair market value. It also specifies that Chugach Electric will not lay off employees as result of the transaction, and that consumer rates will not increase as a result of the purchase.
If voters give the municipality authorization to sell, Hasquet says the company will enter into negotiations to finalize a deal, during which the purchasing price could change.
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