BlackRock headquarters in New York, US, on Wednesday, Dec. 27, 2023. Photographer Angus Mordant/Bloomberg
NEW YORK: Minnesota power regulators approved a US$6.2bil plan for a BlackRock unit and Canada Pension Plan to buy utility owner Allete, parent of Minnesota Power, saying recent modifications by the parties should address concerns about rates and clean-power investments.
The 5-0 vote by the Minnesota Public Utilities Commission may reassure investors that BlackRock will be able to address regulatory and antitrust concerns as its Global Infrastructure Partners unit, which it bought last year, presses for more deals.
Earlier last week, people familiar with the matter said the infrastructure unit was in talks to buy utility group AES.
Separately, last Friday two people said the unit was in talks to buy a data centre business backed by Macquarie.
Company executives said the Minnesota deal, first announced last year, would help Allete to transition to clean energy sources.
Opponents, including the environmental group Sierra Club, business customers and State Attorney General Keith Ellison, had raised concerns the agreement could lead to higher rates and did not guarantee that Minnesota Power could meet a requirement for state electricity to be carbon-free by 2040. — Reuters
