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ALLETE Inc. said it has completed its acquisition by Canada Pension Plan Investment Board and Global Infrastructure Partners after receiving final approval from the Minnesota Public Utilities Commission.
The transaction, approved unanimously by the MPUC, makes CPP Investments and GIP the owners of the Duluth-based energy company. Under the terms of the merger, the buyers acquired all outstanding ALLETE common shares. Shareholders will receive $67 per share in cash shortly after closing. Trading of ALLETE stock was suspended before the New York Stock Exchange opened Monday.
ALLETE said the transaction includes roughly $200 million in benefits for Minnesota Power customers and communities. The package includes a one-year base rate freeze, $50 million in rate credits and additional funding aimed at energy affordability and innovation.
CPP Investments and GIP also committed to fully fund ALLETE’s five-year plan to strengthen and expand the regional transmission grid and advance the company’s energy transition, the company said.
ALLETE will remain headquartered in Duluth and locally managed, with its current leadership team and workforce staying in place. The company’s board of directors will be majority independent and include members from Minnesota and Wisconsin, a structure ALLETE said will preserve regional input into utility decisions.
“We are excited about this next chapter in ALLETE’s long history and the new partnership with CPP Investments and GIP,” said Chair, President and CEO Bethany Owen.
She said the deal strengthens ALLETE’s ability to invest in infrastructure, ensure grid reliability and meet state clean-energy goals “all while preserving ALLETE’s legacy of local leadership and community focus.”
Owen said the company was “grateful to the MPUC, the Minnesota Department of Commerce, and the many community partners who helped shape an agreement that delivers historic benefits to our customers and communities.”
She said ALLETE’s focus remains on providing “affordable, reliable, and increasingly sustainable energy for our region.”
Minnesota Power and Superior Water, Light and Power will continue to operate as public utilities, regulated by the Minnesota Public Utilities Commission and the Public Service Commission of Wisconsin, respectively. ALLETE said transaction-related costs will not be passed on to customers through rates.
Minnesota Power provides electric service across a 26,000-square-mile area in northeastern Minnesota, serving about 150,000 customers, 14 municipalities and several large industrial users.
ALLETE owns regulated utilities Minnesota Power and Superior Water, Light and Power of Wisconsin, as well as ALLETE Clean Energy, BNI Energy and New Energy Equity. The company also holds an 8% equity interest in American Transmission Co.
CPP Investments manages the Canada Pension Plan Fund on behalf of more than 22 million contributors and beneficiaries, investing globally across public and private markets, real estate, infrastructure and other assets. As of Sept. 30, 2025, the fund totaled C$777.5 billion.
Global Infrastructure Partners, a part of BlackRock, invests in and operates infrastructure assets across energy, transportation, digital infrastructure, water and waste management sectors. The firm has more than $189 billion in assets under management, according to the company.
