S&P 500
7,226.20
+0.01%
Dow Jones
49,494.60
-0.62%
Nasdaq 100
27,685.40
+0.66%
Russell 2000
2,804.78
-0.02%
FTSE 100
10,364.50
0.00%
Nikkei 225
59,260.50
-0.78%

Infrastructure

NRG Says No; Exelon Says Please (NRG, EXC, JPM)

Photo of Douglas A. McIntyre
By Douglas A. McIntyre Updated Published
Follow 24/7 Wall St. on Google
This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive compensation for actions taken through them.

It took NRG Energy (NYSE:NRG) almost two weeks to figure out that shareholders should reject the exchange offer from Exelon Corporation (NYSE:EXC). That’s odd because NRG had already rejected the same offer before Exelon decided to go directly to shareholders.

In the continuing battle of press releases, Exelon  yesterday urged NRG shareholders again to tender theirshares by January 6, 2009. Exelon also announced that it had added JPMorgan (NYSE:JPM) to its team of advisers for the proposed acquisition.That ought to get those guys over at NRG quaking in its boots–JPMorgan can probably fire off a mean press release.

Exelon’s offer comes in at about $6 billion in stock, a premium ofnearly 35% to NRG’s share price on October 17th. Shares in NRG are up15% and shares in Exelon are down about 1% since Exelon first made itsoffer. NRG doesn’t have any alternatives lined up, and it’s unlikelythat it will find one. NRG’s board is just holding out for more, butstockholders may be satisfied with Exelon’s offer.

Look for more press releases between now and January 6th.

Paul Ausick
November 26, 2008

Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

Featured Reads

Our top personal finance-related articles today. Your wallet will thank you later.

Fed’s Rate Freeze Could Sting for Social Security Recipients
Maurie Backman |

Fed’s Rate Freeze Could Sting for Social Security Recipients
'Convert $100,000 a Year to Get Them to the Top of the 22%': The Roth Plan for a Couple With $2.3M in 401(k)s
Jeremy Phillips |

'Convert $100,000 a Year to Get Them to the Top of the 22%': The Roth Plan for a Couple With $2.3M in 401(k)s

Continue Reading

Douglas A. McIntyre |

Utilities Gone Gladiator (EXC, NRG)

On Monday, NRG Energy (NYSE:NRG) management rejected an unsolicited buyout offer from Exelon (NYSE:EXC) that would have exchanged one share…
Douglas A. McIntyre |

Utilities Merger Looks More Promising (EXC, NRG)

In mid-October, Exelon Corporation (NYSE:EXC) offered to acquire NRG Energy, Inc. (NYSE:NRG) in an all-stock deal at a fixed exchange…
Douglas A. McIntyre |

NRG is the Company of ‘No’ (NRG, EXC, RRI)

NRG Energy Inc. (NYSE:NRG) has sent a long letter to shareholders counseling them not to vote for the new slate…
Douglas A. McIntyre |

Reliant Joins NRG-Exelon Merger Bermuda Triangle (RRI, NRG, EXC)

Reliant Energy Inc. (NYSE: RRI) is taking a hit this morning.  It wasn’t just the earnings loss, or its plans…
Douglas A. McIntyre |

NRG-Exelon-Reliant: Merger Soap Opera Continues (NRG, EXC, RRI)

The CEO and Chairman of NRG Energy, Inc. (NYSE:NRG) have sent a letter to stockholders pointing out the weaknesses in…
Douglas A. McIntyre |

Exelon Fires Another Round (EXC, NRG, RRI)

Exelon Corporation (NYSE: EXC) has filed its preliminary proxy statement for the 2009 annual meeting of NRG Energy, Inc. (NYSE:…
Douglas A. McIntyre |

NRG Denies Exelon Ambitions (NRG, EXC)

About three weeks ago, NRG Energy Inc. (NYSE: NRG) received a buyout offer from Exelon Corporation (NYSE: EXC). The deal…
Douglas A. McIntyre |

Exelon: Hostile Takeover of NRG is Out of the Gate (EXC, NRG)

Exelon Corporation (NYSE:EXC) has officially kicked off its unsolicited takeover of NRG Energy (NYSE:NRG). We reported the details yesterday. Exelon…
Douglas A. McIntyre |

Electric Utilities Make News on Expectations, Merger Plans (LNT, EXC, NRG)

Alliant Energy Corp. (NYSE:LNT) this morning released financial guidance for 2009. The company also noted that it has reached an…

Top Gaining Stocks

Cboe Global Markets
CBOE • Vol: 1,568,143
New Pluto Global
PSKY • Vol: 12,285,993
Seagate Technology
STX • Vol: 7,378,346
Oracle
ORCL • Vol: 26,317,675
Datadog
DDOG • Vol: 6,247,779

Top Losing Stocks

LKQ
LKQ • Vol: 4,367,433
Clorox
CLX • Vol: 13,260,523
Stryker
SYK • Vol: 4,519,455
Mohawk Industries
MHK • Vol: 1,859,865
Amgen
AMGN • Vol: 3,818,618