Dallas Energy Giants Pen $2B All-Cash Deal

DALLAS-In a Texas-size swap, a pair of locally based energy giants are exchanging $1.9 billion in cash for a lock, stock and barrel buy of TXU Gas Co. The deal includes hundreds of real estate deeds, the largest assembly being a full city block in Dallas.

A TXU Corp. spokeswoman had to check and then confirmed all commercial real estate will pass to Atmos Energy Corp. The real estate includes four vintage office buildings, totaling 434,363 sf, and a parking garage in the downtown’s southeast quadrant along with scores of service centers, warehouses and pipeline rights of way. “There are hundreds of pieces of real estate,” she says, adding the portfolio’s size and value aren’t readily available.

The portfolio is a mix of leased and owned locations, predominately in the state’s north and central regions. According to SEC filings, TXU Gas property, plant and equipment– net of accumulated depreciation and amortization–is valued at $291 million and $275 million, respectively.