GE Energy Financial Services is reportedly close to a deal to purchase a stake in TXU Corp.‘s transmission and distribution business. Lehman Brothers and Credit Suisse have been advising TXU about its options since the beginning of the year (PFR, 1/14).
GE EFS and Macquarie Bank were said to be competing separately to buy into the business, but that early talk appeared to die on the vine. Andy Katell, spokesman for GE EFS, said the unit was evaluating T&D opportunities, but declined to comment on this specific matter.
Dallas-based TXU wants to sell as much as 50% of the $10 billion unit. Calls to other company officials were not returned.
TXU recently announced plans to build nearly a dozen coal-fired plants in Texas that would produce 9 GW at a cost of roughly $11 billion. It also wants to construct 3-5 GW in the PJM Interconnection region and Northeast power markets. It has hired Morgan Stanley and Citigroup to arrange financing for the Texas plants.