Southwest Gas plans to list its unit Centuri in 2024

Southwest Gas Holdings

04/12/2023 14:16

Dec 4 (Reuters) - U.S. energy firm Southwest Gas
Holdings  SWX.N  said on Monday it plans to separate its utility
infrastructure services business Centuri through an initial
public offering next year.
    The Las Vegas-based company said it expects to use the
proceeds from the IPO, likely to be in the spring or summer of
2024, to repay its debt. It also intends to further reduce its
ownership in Centuri following the launch. 
    Southwest Gas had announced the spinoff of Centuri in March
last year, while it was locked in a battle with activist
investor Carl Icahn over the purchase of MountainWest Pipelines
which it sold later.
    "We plan to move forward with an IPO of Centuri once we have
onboarded a new Chief Executive Officer of Centuri," Southwest
Gas CEO Karen Haller said. 
    Centuri's CEO Paul Daily had earlier announced his plan to
retire in 2024. 
    Southwest Gas said it could still separate Centuri through a
tax-free spin-off of all or a part of the unit if market
conditions are not conducive to an IPO. 
    

 (Reporting by Sourasis Bose in Bengaluru; Editing by Krishna
Chandra Eluri)
 ((Sourasis.Bose@thomsonreuters.com;))