Boston, MA 12/13/2013 (wallstreetpr) – UNS Energy Corp (NYSE:UNS) new deal with Fortis, will now give more playing power to its subsidiaries, Tucson Electric power as well as UniSource Energy Services. Worth over $4.3 billion, UNS Energy will now be able move more funds to both of these utilities leveraging higher returns.
UNS Energy Corp (NYSE:UNS) acquisition, will now lead to greater resource accessibility for Fortis.
Fortis is a Canadian gas utility and electric distribution utility, one of the largest in the country. Fortis is well known for being a provider to local as well as overseas utilities. It serves residents of more than five Canadian provinces, as well as two countries in the West Indies, besides another British Columbian natural gas company. Fortis also serves as a gas and electric utility service provider in the state of New York as well.
Small Cap has always had good yield
If UNS Energy Corp (NYSE:UNS) is evaluated in terms of the financial returns it provides, it has never failed in terms of yield payment.
Experts believe it has been remarkably non-volatile despite being a small capital utility provider.
The last year has been troubled for utilities, and most utilities like UNS Energy have had a turnaround from that forwards. However, as electricity providers themselves saw an increase in the strength, utilities too were able to work a turnaround.
Since, then the march forward has been slow yet progressive for companies such as UNS Energy.
By June of 2013, UNS Energy had to revise its target price from promising $57 to $59.50, thanks to regulatory raps. ACCs conducted a retail competition review, leaving Arizonian electric companies dependent on prices of commodity for earnings. The earnings would be affected by the prices of the transition period as well.
UNS Energy Corp (NYSE:UNS) has since the announcement of Fortis deal seen a market rise in the region of 28%.