Solar company Sunrun to buy rival Vivint in $3.2 billion deal
Residential solar-panel installer Sunrun Inc. (RUN) announced a deal Monday night to acquire rival Vivint Solar Inc. (VSLR) for about $3.2 billion, including debt. In a statement, the companies said Vivint shareholders would get 0.55 shares of Sunrun for every share held, leaving Vivint shareholders with about a 36% stake in the combined company. The merger will deliver an annual cost savings of about $90 million, the companies said. "Vivint Solar adds an important and high-quality sales channel that enables our combined company to reach more households and raise awareness about the benefits of home solar and batteries," Lynn Jurich, Sunrun's chief executive and co-founder, said in a statement. "This transaction will increase our scale and grow our energy services network to help replace centralized, polluting power plants and accelerate the transition to a 100% clean energy future." Sunrun shares have gained 55% year to date, while Vivint has risen 46%, compared to the S&P 500's 1.6% decline this year.
-Mike Murphy; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
July 06, 2020 23:25 ET (03:25 GMT)
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