Hydro One-Avista Merger Rejection (2018)
Ontario-based Hydro One agreed to acquire Spokane's Avista Corporation for $5.3 billion, creating a cross-border utility giant. After 18 months of regulatory review, Washington's Utilities and Transportation Commission rejected the deal in December 2018, citing concerns about political interference from Ontario's government after newly-elected Premier Doug Ford forced out Hydro One's CEO and board.
Hydro One paid a $103 million termination fee. Avista remained independent.
The rejection established that Washington regulators will block deals they deem contrary to customer interests, regardless of financial terms. Foreign utility ownership faces heightened scrutiny.
The PGE-PacifiCorp deal faces the same Washington regulatory gauntlet. While PGE is domestic, Manulife's Canadian ownership of 49% could draw similar foreign control concerns.
