The transaction has been approved by the MAM board of directors, and is expected to close later this year, subject to approval by MAM’s shareholders and certain regulatory approvals, including the Maine Public Utilities Commission and the Federal Energy Regulatory Commission, as well as other customary closing conditions.

Regulatory approvals are estimated to take six to eight months. MAM shareholders will receive proxy materials soliciting their approval for the transaction.

Chris Huskilson, president and CEO, Emera, said: “We look forward to serving the customers of Northern Maine and building on the strong community reputation established by Maine Public Service Company. Maine plays an important role in the Maritime and New England energy market.

“This merger is an important next step in Emera’s strategy of growth and integration within the Northeast market, by geographically expanding our service territory in Maine to the New Brunswick market.”

MAM is the parent company of Maine Public Service Company (MPS) and MAM Utility Services Group (MAM USG). MPS is a regulated electric transmission and distribution utility in Northern Maine. MAM USG is an unregulated corporation that provides electrical services including transmission line and substation design and construction.

There are no immediate plans to reduce staffing levels as Emera contemplates that both MPS and Bangor Hydro will continue to operate separately and serve their customers in their respective service territories.

For the transaction, RBC Capital Markets is acting as financial advisor and Weil Gotshal & Manges as legal counsel to Emera. KeyBanc Capital Markets is acting as financial advisor and Curtis Thaxter Stevens Broder & Micoleau as legal counsel to MAM.