WASHINGTON (dpa-AFX) - Duke Energy Corp. (DUK) said Tuesday that the Kentucky Public Service Commission has approved approved the merger-related application filed in April by Duke Energy and Progress Energy, Inc.
The application sought approval for the indirect transfer of Duke Energy Kentucky that would result from the merger of the companies.
The Kentucky Public Service Commission's order, approving a settlement agreement negotiated by the stakeholders involved, marks the first state regulatory approval in the merger process. The Kentucky Public Service Commission requires Duke and Progress to accept all the commitments contained in the order within seven days.
The companies announced their agreement to merge January 10 and have made all regulatory filings necessary to have the merger approved.
The companies continue to target the merger closing by the end of the year. If the merger is completed, Progress Energy will become a wholly owned subsidiary of Duke Energy, and the former shareholders of Progress Energy will become shareholders of Duke Energy.
Both companies have scheduled their respective special shareholder meetings for August 23.
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