UGI Utilities sells Pennsylvania Electric Utility Division to Argo Infrastructure Partners for $470 million

UGI Utilities, a wholly owned subsidiary of UGI Corp., entered into a definitive agreement to sell its Electric Division to funds managed by Argo Infrastructure Partners for approximately $470 million. The transaction covers approximately 2,700 miles of transmission and distribution lines and 14 substations in Pennsylvania’s Luzerne and Wyoming counties, serving over 63,000 customers. After-tax proceeds will be used to reduce UGI debt and for general corporate purposes, strengthening the company’s balance sheet. The deal is expected to close in the first quarter of 2027, subject to customary closing conditions and regulatory approvals. UGI Utilities’ Electric Division has a strong track record in operations, safety, and customer service, operating in a constructive regulatory environment.

Counterparts (7)

Buyer

Argo Infrastructure Partners

company · 1 deals

New York-based diversified infrastructure manager with $7.5 billion AUM, investing in regulated utilities, contracted energy assets, data centers, renewables, and transportation across North America.

Buy-Side Advisor

Truist Securities

company · 1 deals

parent_company

U

UGI Corp

company · 1 deals

Sell-Side Legal

Baker Botts L.L.P

company · 1 deals

Houston-based global law firm providing legal services to energy, technology, and infrastructure sectors, with a focus on clean energy and innovation. Named #1 Law Firm for Business and Innovation by Bloomberg Law.

Seller

UGI Utilities, a wholly owned subsidiary of UGI Corp

company · 1 deals

Wyomissing, Pennsylvania-based energy supplier and marketer supplying natural gas, electricity, propane, and renewable energy to 42,000 customer locations across the Mid-Atlantic and Northeastern US as a wholly owned subsidiary of UGI Corporation.

advisor

Edelman Smithfield

company · 1 deals

Sell-Side Advisor

PJT Partners

company · 1 deals