DivestmentJun 30, 2026, 04:38 PM
Spire Completes $657M Sale of Natural Gas Storage Businesses
AI Summary
Spire Inc. has completed the sale of its natural gas storage businesses, including Belle Butte LLC, Spire Storage West LLC, and Spire Storage Salt Plains LLC, to an affiliate of I Squared Capital for a total consideration of $657 million. This amount comprises $607 million in cash received at closing and a $50 million deferred payment due by September 30, 2027. The company intends to use the net proceeds to support its regulated natural gas utility operations, fund its capital investment plan, reduce debt, and partially fund the previously completed acquisition of the Piedmont Natural Gas Tennessee business, thereby sharpening its strategic focus.
Key Highlights
- Spire completed the sale of its natural gas storage businesses for $657 million.
- The transaction included $607 million in cash at closing.
- A deferred consideration of $50 million is payable by September 30, 2027.
- The divested assets include Belle Butte LLC, Spire Storage West LLC, and Spire Storage Salt Plains LLC.
- The buyer is Subterra Energy Borrower, LLC, an affiliate of I Squared Capital.
- Net proceeds will be used for general corporate purposes, capital investment, and debt reduction.
- The sale sharpens Spire's focus on its core regulated natural gas utility operations.
- Proceeds also helped fund the acquisition of Piedmont Natural Gas Tennessee business.
Price Impact
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