Court approves takeover of Oncor

A U.S. bankruptcy court has approved Sempra Energy’s acquisition of Dallas-based Oncor, Texas’ largest utility, clearing the way for the deal’s completion.

Sempra, a San Diegobased utility and pipeline company, plans to acquire the bankrupt Energy Future Holdings Corp. and its 80 percent stake in Oncor for nearly $9.5 billion in cash. The enterprise value of the deal is around $18.8 billion, Sempra said.

The merger still needs approval by the Public Utility Commission of Texas. Sempra said it expects the commission to take up the issue as soon as Thursday. Last month, the Public Utility Commission indicated that it would support the acquisition. The PUC rejected two previous attempts to buy Oncor — one by Florida’s NextEra Energy and one by Dallas billionaire Ray Hunt.

Sempra said the deal would close soon after it receives final PUC approval. It would bring to an end a long process. Energy Holdings filed for bankruptcy nearly three years ago, with legal fees nearing those of the Enron bankruptcy.

Two of Energy Holdings subsidiaries, the merchant power company Luminant and retail electricity company TXU, emerged from bankruptcy in 2016. They are now held by Vistra Energy of Irving.

Last year, Sempra beat out another bidder, Berkshire Hathaway Energy, to acquire Oncor’s bankrupt parent, Energy Future Holdings, and the utility.

Sempra is a diversified energy company with holding that include utilities, renewable energy projects and liquefied natural gas facilities.

Oncor’s assets include 134,000 miles of lines and 3.4 million advanced meters.

Oncor, which employs nearly 4,000 people, has nearly 10 million customers.