SALT LAKE CITY, Utah (ABC 4 News) - Utah based Energy Solutions is being sold for 1-point-1 billion dollars.
Stockholders will be bought out at $3.75 a share. The company calls it a good deal that's 20% better than the recent, average share price.
Others aren't so sure. There are already rumblings among some shareholders of a lawsuit claiming the Energy Solutions board of directors didn't get the best price for the company.
The recession has been rough on Energy Solutions stock. Back in 2007, the price per share was $27.50. That is a far cry from today's buyout offer of $3.75.
Still, the company is putting a good face on the deal. Energy Solutions CEO and President David Lockwood said it "enables us to continue to execute on our strategic plan by providing the investment capital to expand."
And from the buyer, Energy Capital Partners, Tyler Reeder said Energy Solutions will "grow its decommissioning and disposal businesses in the United States."
That last line concerns Matt Pacenza of HEAL Utah. The policy director for the watchdog organization, Pacenza said, "We're afraid it might mean depleted uranium or blended nuclear power plant waste or foreign waste -- all things that folks here in Utah and our elected officials have all fought to keep out."
Pacenza also is worried that the buyer is a private equity firm. "They appear to specialize in the energy industry, but primarily natural gas and some renewables," he explained. "So they don't have much nuclear experience."
According to the terms, the Energy Solutions board remains free to shop around for a better deal from another buyer, but it only has until February 6th.
They also need regulatory approval, so this is not quite a done deal.
