Aug 18 (Reuters) – Private equity firm KKR has offered to buy U.S. natural gas and electricity distributor UGI Corp for $9 billion, the Wall Street Journal reported on Tuesday, citing people familiar with the matter.
The offer values UGI at $42.50 per share, the report said. This represents a premium of 21.1% to UGI’s closing price on Monday, according to Reuters calculations.
Shares of UGI jumped more than 12% in early trading, while KKR’s stock was down roughly 1%.
A surge in electricity demand from AI data centers and other large power users is reshaping the U.S. energy market, putting reliable sources such as natural gas in greater focus.
KKR and UGI did not immediately respond to Reuters requests for comment.
(Reporting by Katha Kalia in Bengaluru; Editing by Tasim Zahid)
