Peabody-Arch joint venture expected to be completed in first half of 2020

摘要

Peabody Energy announced its third-quarter results this morning, and in the earnings statement gave a bit of a breakdown to where its proposed western joint venture with Arch Coal stands. The company said the JV is “progressing through the regulatory approval process by the U.S. Federal Trade Commission as expected.” Peabody also said that, recently, it and Arch have agreed to a timeline with the FTC, with the FTC’s review anticipated to conclude during the first half of 2020. “Ongoing assessment continues to validate analysis that the joint venture is expected to unlock synergies with a pre-tax net present value of approximately $820 million,” Peabody said, adding the average joint-venture synergies are projected to be about $120 million per year over the initial 10 years.