Dynegy To Be Acquired By Blackstone (DYN)

Dynegy Inc. DYN today announced that it has entered into a definitive merger agreement pursuant to which it will be acquired by an affiliate of The Blackstone Group L.P. BX in a transaction valued at approximately $4.7 billion, including the assumption of existing debt. Under the terms of the merger agreement, Dynegy stockholders will receive $4.50 in cash for each outstanding share of Dynegy common stock they own, which represents a 62 percent premium to the closing share price on August 12, 2010. “Dynegy’s Board of Directors believes the proposed transaction with Blackstone provides our stockholders with a significant premium over the current stock price and removes the risks to the existing stockholders associated with volatile commodity prices, challenging capital markets and environmental and regulatory uncertainties,” said Bruce A. Williamson, Chairman, President and Chief Executive Officer of Dynegy Inc. “Blackstone is a world-class firm with substantial resources and investment experience in the power generation business, and we believe they are well positioned to lead Dynegy going forward as a private company.”