Mirant Corp. and RRI Energy Inc Merger Finalized, GenOn Energy is BornBy Shaon, Gaea News Network
Friday, December 3, 2010
HOUSTON (GaeaTimes.com) — Energy major Mirant Corp. and RRI Energy Inc. announced their merger on Friday. As a result a new entity called GenOn Energy Inc. is created. Shares of the formed entity will begin trading on Monday under the symbol “GEN”. Mirant, the Atlanta based company agreed to buy out the RRI energy for $1.6 Billion. The deal is all set to be finalized by the year end.
Each of the proposed shares of the RRI stock is set to be an integral part of the GenOn Energy common stock. The Mirant share holders will receive a ratio of the GenOn common stock fixed at 2.835. Following the announcement the shares of Mirant soared by 4 percent and while the shares of RRI edged by a 3% to $3.56 after the afternoon trading closed. The press release of the company
GenOn Energy, Inc. (NYSE: GEN) is one of the largest competitive generators of wholesale electricity in the United States. With power generation facilities located in key regions of the country and a generation portfolio of approximately 24,600 megawatts, GenOn is helping meet the nation’s electricity needs. GenOn’s portfolio of power generation facilities includes baseload, intermediate and peaking units using coal, natural gas and oil to generate electricity. We have experienced leadership, dedicated team members, financial strength and a solid commitment to safety, the environment, operational excellence and the communities in which we operate. GenOn will routinely post all important information on its Web site at www.genon.com.
Trading of GenOn shares will begin in Monday.