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CALIFORNIA | ENERGY | THE STATE

Pacific Enterprises-Enova Merger Advances

March 12, 1997|Times Staff and Wire Reports

Shareholders of Pacific Enterprises and Enova Corp. approved a merger that would create one of the nation's largest utilities, with 6 million customers in Southern California. The companies announced in December plans to merge as competition in the deregulated utility market grows. Seventy-nine percent of Pacific Enterprises shareholders voted in favor of the merger, as did 76% of Enova shareholders. Los Angeles-based Pacific Enterprises is the parent of Southern California Gas Co., and Enova is the parent of San Diego Gas & Electric. The merger must still be approved by state and federal regulatory agencies. Under the stock-swap deal, Enova shareholders will receive one share in the new parent company for each share they currently own. Pacific Enterprises shareholders will receive 1.5038 shares for each they own. Enova shares lost 12.5 cents to close at $21.875; Pacific Enterprises stock was down 12.5 cents, closing at $30.75. Both trade on NYSE.

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