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Boris J. Steffen speaks on merger synergies at Platts 4th Annual Utility M&A conference
WASHINGTON, D.C., June 29, 2007—Boris J.
Steffen, Partner at Bates White, presented “Synergy Assessment Under
Uncertainty” on June 26, 2007, at Platts 4th Annual Utility M&A conference in
New York, N.Y. Steffen, who provided analysis and expert testimony in the proposed merger
proceedings of Exelon Corporation and Public Service and Electric Gas Company, was on a
panel that examined the lessons learned from utility mergers and acquisitions in 2006.
The panel considered how companies estimate merger benefits and synergies in the presence
of uncertainty, evaluate horizontal and vertical market power, and achieve the right
balance between acquisition pricing, investor returns, and deal closure. The panel also
explored the following questions: “What impact will last year’s deals have on
how future deals get done?” and “Are mergers involving large, state-regulated
utilities still viable, despite the repeal of PUHCA?”
Steffen’s presentation examined the intricacies of premerger information exchange
and addressed the importance of cognizable efficiencies in regulatory proceedings. He
explained how Bates White’s approach to cognizable synergies employs criteria drawn
from academia, industry, and government to demonstrate the reasonableness and
verifiability of expected synergies as required under the Horizontal Merger Guidelines.
Bates White sponsored the conference, which included panels on the following topics:
regulation and the role of the states, growing shareholder value, repeal of PUHCA,
alternative investors, and new approaches to combining M&A and technology.
To read Steffen’s presentation visit
http://www.bateswhite.com/news/pdf/Steffen_Platts_20070626.pdf.
About Bates White
Bates White is a consulting firm offering services in economics, finance, and business strategy to leading law firms,
Fortune 500 companies, and government agencies. We provide our clients with a unique combination of quantitative and
analytical expertise, and an understanding of business issues across a range of industries. Bates White has offices
in Washington, D.C., and San Diego, Calif.
www.bateswhite.com
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