The Associated Press is reporting that TXU could be a part of the largest private buyout in US corporate history. Sources told the AP that directors of TXU gave tentative approval to sell the electric company for over $32 billion dollars.
The private equity firms Kohlberg, Kravis, Roberts and Company, and Texas Pacific Group were offering over $32 billion dollars, plus $12 billion in debt service. The final details are still being worked out. KKR and Texas Pacific Group agreed over the weekend to drop most of TXU's plans for building eight new coal-fired plants, if the deal goes through. There is no word on which plants would be dropped.