Washington – British utility National Grid has agreed to buy U.S. electricity and natural-gas distributor KeySpan Corporation for $7.3 billion that would create the third-largest energy delivery utility in the United States.
National Grid said in New York on Monday it would pay the $7.3 billion in cash and also would assume debt estimated at $4.5 billion. KeySpan shareholders will receive $42 in cash per share.
After the deal is completed, National Grid will serve nearly 8 million customers in the northeastern United States, the companies said.
National Grid, which already has a large presence in the United States, owns and operates Britain’s electricity grid. KeySpan is the fifth-largest gas-distribution company in the United States.