NorthWestern Energy (Sioux Falls, South Dakota, U.S.) has reached an agreement with Babcock & Brown Infrastructure (BBI; Sydney, Australia) under which BBI will acquire the utility at US$2.2 billion. The transaction is subject to the approval of NorthWestern’s shareholders and regulatory approvals, and is expected to be completed in 2007. Upon closing, NorthWestern will cease to be a publicly traded company.

NorthWestern has electric operations in Montana and South Dakota. It serves 316,000 customers in Montana and 59,000 customers in South Dakota. The utility has 27,300 miles (43,935 km) of T&D lines in Montana and 3200 miles (5150 km) in South Dakota.

BBI owns and manages, on a long-term basis, utility and infrastructure companies and assets around the world, including companies in electricity transmission and distribution. BBI’s other investments include: Powerco, the second-largest electricity and gas distribution business in New Zealand; IEG, a natural gas and LPG distribution and supply business in the United Kingdom, Channel Islands, Isle of Man and Portugal; Cross Sound Cable, an HVDC cable that links the electricity grids of New York and Connecticut; and Dalrymple Bay Coal Terminal, one of the world’s largest coal export facilities, located in Queensland, Australia.