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EnergySolutions Inc. has announced it will hold a special meeting of stockholders April 5 on its proposed merger with Energy Capital Partners II, a private equity firm based in Short Hills, New Jersey.
A proxy statement filed by the company on Friday gives details about the $1.1 billion deal, which will promises shareholders $3.75 per share for their stock as the homegrown company reverts back into private hands after six years.
Not only does the deal need shareholder approval, but also the okay of regulators at the U.S. Nuclear Regulatory Commission and in the states where it holds radiological permits: Connecticut, Ohio, South Carolina, Tennessee and Utah. EnergySolutions operates a mile-square disposal site in western Utah's Tooele County where around 97 percent of the nation's low-level radioactive waste was buried over the past two decades.
The proxy statement tells how EnergySolutions, under new management since last June, began negotiating with Energy Capital Partners in December and how other efforts to find a buyer failed to pan out. The final proposal lists golden parachutes for the current management, who are expected to continue running the company after the merger is completed in the second or third quarter of 2013.
CEO David Lockwood will receive $16.2 million in cash, equity and benefits, and CFO Greg Wood will get $7.3 million. The other three top executives John Christian, Mark Morant and Alan Parker would get around $3.2 million apiece, the proxy statement says.
Energysolutions Inc.'s final shareholder meeting:
The Salt Lake City company has planned its stockholders meeting for 9 a.m., April 5, at 525 University Avenue, Suite 1400, Palo Alto, Calif.