UGI Corp. to Divest Electric Division in $470 Million Deal with Argo Infrastructure Partners

Apr 28, 2026 13:09 UTC

UGI

Short term

UGI Corp. has reached an agreement to sell its Pennsylvania-based electric assets to Argo Infrastructure Partners. The transaction involves a significant network of transmission and distribution infrastructure.

Sale price finalized at $470 million
Transfer of approximately 2,700 miles of transmission and distribution lines
Includes 14 substations located in Luzerne, Pennsylvania
Acquisition to be executed by Argo Infrastructure Partners

UGI Corp. (UGI) announced on Tuesday that it has entered into a definitive agreement to sell its Electric Division to funds managed by Argo Infrastructure Partners for a total consideration of $470 million. The divestiture allows UGI to streamline its operational footprint and potentially refocus capital on its core business segments. This move represents a strategic adjustment to the company's utility portfolio as it optimizes its asset base. The assets included in the sale are concentrated in Luzerne, Pennsylvania, and comprise approximately 2,700 miles of transmission and distribution lines. Additionally, the deal encompasses 14 substations essential to the region's power grid. From a market perspective, the transaction provides UGI with a substantial cash infusion. Investors will likely monitor how the company intends to deploy the $470 million in proceeds, whether through debt reduction, shareholder returns, or reinvestment into other growth areas.