GO
Loading...

Goldman, Morgan Stanley Seek Dominion Deal, Source Says

Investment units of MorganStanley and Goldman Sachs Groupare working with a number of private equity firms on a possible bid for the oil and gas assets of utility company Dominion Resources, according to a source familiar with the situation.

The plan involves private equity firms including Madison Dearborn Partners, Warburg Pincus, First Reserve and Carlyle Group and its affiliate Riverstone Holdings.

Dominion Resources said in November that it planned to sell the assets, which analysts have said could fetch anywhere from $13.5 billion to $20 billion.

A second group including Blackstone Group, Texas Pacific Group and Kohlberg Kravis Roberts & Co. is exploring its own offer for the Dominion oil and gas assets, the source said.

The company said at the time that it planned to sell the assets as one unit, but sources have said it could prove tough to put together a transaction for all the assets and that Dominion could opt to sell the assets in packages.

Goldman Sachs and Morgan Stanley declined to comment. The private equity firms either had no comment or were not immediately available for comment. Dominion Resources was not immediately available for comment.

Contact U.S. News

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    › Learn More*

Don't Miss

U.S. Video

  • CNBC's Tyler Mathisen looks back at the week's top business and financial stories. The markets were closed for Thanksgiving, but did manage to hit new highs. Low oil prices gave consumers more money to spend for Black Friday.

  • Cyber Monday deals on Walmart's website on Dec. 2, 2013.

    CNBC's Tyler Mathisen looks ahead to what are likely to be next week's top stories. The jobs report comes out this week, as do auto sales. And the Rockefeller Center Christmas tree is lit.

  • Following last week's wild energy ride, analysts expect oil prices to continue to drop during the holiday season. CNBC's Patti Domm reports.