Duke Energy has agreed to sell its Piedmont Natural Gas Tennessee local distribution company business to Spire Inc. for $2.48 billion in cash. The deal is expected to close in the first quarter of 2026, pending regulatory approval by the Tennessee Public Utility Commission and other customary closing conditions.
The sale includes nearly 3,800 miles of distribution and transmission pipelines, a liquefied natural gas facility, and service to about 205,000 customers in the Greater Nashville area. Employees primarily supporting the Tennessee business will transition to Spire to ensure operational continuity.
Duke Energy plans to use approximately $800 million from the proceeds to offset debt at Piedmont Natural Gas, maintaining its capital structure. The remaining $1.5 billion will help fund Duke Energy’s five-year capital plan valued at $83 billion, which focuses on energy modernization investments.
Harry Sideris, president and chief executive officer of Duke Energy, stated: “The transaction allows us to efficiently fund accelerating investment opportunities driven by record customer growth and a deepening economic development pipeline. We’re confident Spire will support the continued growth and success of the Tennessee natural gas business and serve as an incredible operator for the benefit of employees, customers and communities.”
Sideris also expressed gratitude toward customers and employees: “I want to thank our customers and the Nashville community for allowing us to serve as their trusted energy partner, regional supporter and neighbor for more than 40 years. I also want to recognize the entire Piedmont Natural Gas team who support the Tennessee business for their unwavering commitment to our customers, operational excellence and industry-leading service. They have set the bar for what it means to be a best-in-class natural gas business and will continue to do so for many years to come.”
Scott Doyle, president and chief executive officer of Spire Inc., commented on expanding Spire’s reach: “This acquisition is a natural fit for Spire, allowing us to expand our core utility business and increase our utility customer base to nearly two million homes and businesses. We look forward to serving customers in the Nashville area and safely delivering the energy they need.”
Doyle noted shared values between Spire, Duke Energy, and Piedmont Natural Gas: “We’re eager to build on the foundation of exceptional customer service and community engagement that Piedmont Natural Gas customers in Tennessee have enjoyed for years,” said Doyle. “We look forward to welcoming their employees and customers, and becoming an active participant in the growing Nashville business community.”
JP Morgan Securities LLC and RBC Capital Markets LLC acted as financial advisors for Duke Energy during this transaction.
Piedmont Natural Gas remains a subsidiary of Duke Energy serving over 1.2 million residential, commercial, industrial, and power generation customers across North Carolina, South Carolina, and Tennessee.
Spire serves around 1.7 million homes through its utilities in Alabama, Mississippi, Missouri; with this acquisition its customer base is projected near two million.
More information about Duke Energy can be found at https://www.duke-energy.com/.