8-KAcquisitions & DispositionsRegulation FDOther Events+1

ENTERGY CORP /DE/ 8-K Report, Acquisition Completed (Jul 1, 2025)

Filed July 1, 2025For Securities:ETR

Summary

Entergy Corporation (ETR) announced the completion of the sale of its regulated natural gas local distribution company businesses in New Orleans and East Baton Rouge, Louisiana. The transactions, which closed on July 1, 2025, involved the sale of Entergy New Orleans' gas business to Delta New Orleans Gas Company, LLC, and Entergy Louisiana's gas business to Delta Capital Gas Company, LLC, both affiliates of Bernhard Capital Partners. This strategic divestiture allows Entergy to focus on its core utility operations and accelerate its clean energy transition. The combined base purchase price for these businesses was $483.5 million, subject to customary adjustments.

Key Highlights

  • 1Completion of sale of regulated natural gas local distribution company businesses in New Orleans and East Baton Rouge.
  • 2Buyers are affiliates of Bernhard Capital Partners: Delta New Orleans Gas Company, LLC and Delta Capital Gas Company, LLC.
  • 3Transactions closed on July 1, 2025.
  • 4Base purchase price for Entergy New Orleans' gas business was $285.5 million.
  • 5Base purchase price for Entergy Louisiana's gas business was $198 million.
  • 6Total combined base purchase price of $483.5 million, subject to adjustments.
  • 7This divestiture is part of Entergy's strategic focus on its core utility operations and clean energy transition.

Frequently Asked Questions

Entergy sold its regulated natural gas local distribution company businesses in the Parish of Orleans (via Entergy New Orleans) and the Parish of East Baton Rouge, Louisiana (via Entergy Louisiana).

The businesses were acquired by two separate affiliates of Bernhard Capital Partners Management, LP: Delta New Orleans Gas Company, LLC acquired the New Orleans business, and Delta Capital Gas Company, LLC acquired the East Baton Rouge business.

The combined base purchase price for both businesses was $483.5 million ($285.5 million for the New Orleans business and $198 million for the East Baton Rouge business), subject to certain adjustments.

Entergy is divesting these natural gas distribution businesses as part of a strategic decision to focus on its core utility operations and accelerate its transition to cleaner energy sources.