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Envela Gains Insight as Delta Utilities Acquires Entergy's Gas Distribution Business

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Cashu
2 days ago
Cashu TLDR
  • Delta Utilities acquires Entergy's natural gas distribution business, expanding service to over 200,000 new customers.
  • The acquisition enhances Delta's operational capabilities and workforce, adding approximately 200 new employees.
  • Delta Utilities aims to modernize assets and improve service reliability for its growing customer base.
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ELA
Envela
-1.46%

Delta Utilities Expands Operations with Entergy Acquisition

In a strategic move to enhance its operational capabilities, Delta Utilities completes the acquisition of Entergy's natural gas distribution business, which includes approximately 3,700 miles of gas pipelines and 2,200 miles of service lines. This transition, effective July 1, 2025, marks a significant expansion for Delta Utilities as it now serves over 200,000 additional residential and commercial customers in New Orleans and East Baton Rouge Parish. The deal, which underscores Delta's commitment to reliable service, allows Entergy to concentrate on its growing electric utility operations, aligning with its broader strategy of enhancing sustainability and reliability in energy delivery.

Entergy’s decision to sell its gas distribution business comes after careful consideration and regulatory approvals from the Louisiana Public Service Commission and local city councils. Drew Marsh, Entergy's chair and CEO, expresses appreciation for the dedication of the gas employees and confidence in Delta Utilities' ability to uphold service standards. This transaction reflects Entergy's intent to streamline its focus towards electric utility services, where it currently serves over 3 million customers across multiple states, including significant operations in Louisiana.

Delta Utilities, backed by Bernhard Capital Partners, is well-positioned to modernize the newly acquired assets and improve service delivery for its expanded customer base. The recent acquisition follows Delta's earlier purchase of CenterPoint Energy's natural gas systems, further solidifying its presence in the Gulf Coast region. With the integration of these operations, Delta Utilities aims to leverage its resources and expertise to enhance service reliability and foster community resilience in energy solutions.

In addition to the operational advancements, the acquisition significantly bolsters Delta Utilities' workforce, bringing in approximately 200 new employees. This growth exemplifies Bernhard Capital's strategic vision to develop robust energy solutions while contributing to community well-being. As Delta Utilities continues to expand its footprint, it remains focused on delivering sustainable and reliable energy solutions, positioning itself as a leader in the natural gas sector.

The transition from Entergy to Delta Utilities is not just a change in management; it represents a commitment to ongoing improvements in service and infrastructure. As the energy landscape evolves, Delta Utilities is dedicated to meeting the needs of its customers while maintaining a strong emphasis on community engagement and support.

The content provided here is for informational purposes only and should not be considered financial or investment advice. Investing in stocks carries risks, including potential loss of principal. Always do your own research and consult with a licensed financial advisor before making any investment decisions. We are not responsible for any losses or damages resulting from your use of this information.

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