Star Gas Partners LP (NYSE: SGU) is buying Griffith Energy Services Inc. for about $70 million.
Griffith, a subsidiary of CH Energy Group Inc., provides energy services in the Mid-Atlantic region of the U.S. The company distributes heating oil, motor fuels and propane, plus provides air conditioning services to residential and commercial customers. CH Energy is a subsidiary of Fortis Inc. (TSX: FTS), which owns gas and electric utility companies.
Star Gas, headquartered in Stamford, Conn., distributes home heating oil in the Northeast and Mid-Atlantic U.S. The company will make the acquisition with cash on hand and through its recently amended credit facility.
Other recent utility deals include Energy Capital Partners LLC’s deal for a Fort Wayne, Ind.-based provider of electrical utility equipment, and First Reserve’s acquisition of Dixie Electric LLC, which provides electrical infrastructure materials.