The merger between TXU Corporation and Texas Energy Future Holdings Limited Partnership (TEF) has been approved by the TXU shareholders. TEF was recently formed by a group of investors. TEF was lead by Kohlberg Kravis Roberts & Co. (KKR) and Texas Pacific Group (TPG) in order to facilitate the merger.
Total, more than 340 million shares of the 461 million total outstanding shares of TXU Corp. common stock were voted “in favor of the adoption” of the merger agreement. The approval required a vote of two-thirds of the total outstanding shares. Of the shares voted on the merger, over 95 percent voted in favor of it.
Upon close of the merger, TXU shareholders will be entitled to $69.25 in cash for each share of TXU common stock held. The merger, which requires approval by the Nuclear Regulatory Commission and completion of other customary closing conditions, is expected to close in the fourth quarter of 2007.