A Connecticut company has reached agreement to purchase Philadelphia Gas Works. Credit: Rikard Larma, Metro
Mayor Michael Nutter announced Monday morning that Philadelphia Gas Works will be sold to a Connecticut company for $1.86 billion.
UIL Holdings Corp. will purchase PGW pending approval by City Council and the Pennsylvania Utilities Commission, 6ABC Action News reported.
PGW, the nation's largest municipal-owned gas company, has been up for sale for about two years.
"When I announced nearly two years ago that the city would begin exploring the sale of PGW, I pledged that I would sign an agreement only if the terms benefited Philadelphia taxpayers and PGW customers," Nutter said in a statement.
The deal would put $424 million into the city's pension fund, according to the report.
UIL Holdings Corp. has headquarters in New Haven, Conn.