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| After the acquisition fell apart in 2016, NEE and HE's stock prices diverged, even before the Lahaina fires. |
Seven years ago Florida-based NextEra Energy (NEE) failed in its attempted acquisition of Hawaiian Electric for $2.63 billion. The deal was rejected by Hawaiian regulators.
The ostensible reason was that NextEra did not provide enough details about whether its green-energy plans were sufficiently compliant with Hawaii's own goals. In truth there was a local element that would have resisted any takeover of HE, a Hawaiian institution that was more than 120 years old.
NEE, with a current market cap of about $137 billion, must be thanking its lucky stars that the deal fell apart. With a wealthy Mainland parent company who would be convenient to blame, the Maui victims and lawyers would try to extract $billions in damages from HE's parent.
In NextEra's case the failure to make a deal was the best deal.
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