The S&P 500’s top gainers on January 3 were as follows:
SCANA, which is involved in electric and natural gas utility operations, was the S&P 500’s top gainer on January 3. SCANA started this week on a weaker note but opened higher on Thursday and closed higher.
The buying pressure in SCANA increased on Wednesday amid reports about a deal with Dominion Energy (D). According to reports, Dominion Energy is acquiring SCANA for $7.9 billion. It’s a stock for a stock deal. SCANA shareholders receive 0.669 shares of Dominion Energy for each share of SCANA they own. Dominion Energy’s management expects the acquisition to boost its earnings per share more than 8% through 2020. The acquisition would also transfer $6.7 billion of SCANA’ debt to Dominion Energy.
According to the announcement, Dominion Energy will pay $1.3 billion to SCANA customers, which is equivalent to $1,000 per customer. Dominion Energy agreed to cut the bills 5% for customers who were overcharged. SCANA funded the nuclear project. On January 3, SCANA rose 22.6% and closed the day at $47.65—the highest daily close since October 26. Dominion Energy fell 3.9% to $77.19.