Regulators approve disputed $6.2B takeover of Minnesota Power by investment group

Core Points - Minnesota regulators approved a $6.2 billion takeover of Minnesota Power by a private equity group, despite opposition from the state attorney general and consumer advocates [1][2][5] - The deal includes a 19% premium for shareholders and assumes $2.3 billion in debt, with assurances that operations and rates will remain unaffected [5] - The approval comes amid rising electricity bills in the U.S., with concerns that residential customers may subsidize the energy needs of large tech companies [3][4] Company Overview - Minnesota Power, a subsidiary of Allete, serves 150,000 customers and has a diverse energy portfolio including coal, gas, wind, and solar [4] - The takeover involves a BlackRock subsidiary and the Canada Pension Plan Investment Board, raising concerns about the potential for similar deals across the U.S. [4][5] Regulatory Actions - The Minnesota Public Utilities Commission believes that the conditions imposed on the deal will protect public interest and prevent rate increases [2][6] - Modifications negotiated by the state Department of Commerce include additional financial and regulatory safeguards to protect customers [6][7]