MDU Resources Sells Knife River for $795M

TL;DR

MDU selling Knife River for $795M to focus on regulated utilities.

AI Summary

MDU Resources Group Inc. announced on March 13, 2024, that it has entered into a definitive agreement to sell its construction materials and services business, Knife River Corporation, to a subsidiary of Mears Group Inc. for approximately $795 million. This strategic divestiture is expected to close in the second quarter of 2024, allowing MDU Resources to focus on its regulated energy delivery businesses.

Why It Matters

This sale marks a significant strategic shift for MDU Resources, enabling them to concentrate on their core regulated utility operations and potentially unlock shareholder value.

Risk Assessment

Risk Level: medium — The sale price is subject to customary closing adjustments, and the transaction's completion is contingent on regulatory approvals, introducing some uncertainty.

Key Numbers

• $795 million — Sale Price (Divestiture of Knife River Corporation)

Key Players & Entities

• MDU Resources Group Inc (company) — Seller
• Knife River Corporation (company) — Business being sold
• Mears Group Inc (company) — Buyer
• $795 million (dollar_amount) — Sale price
• March 13, 2024 (date) — Announcement date
• second quarter of 2024 (date) — Expected closing period

FAQ

Key Financial Figures

• $1.00 — ch registered) Common Stock, par value $1.00 per share MDU New York Stock Exchange

Filing Documents

• mdu-20240313.htm (8-K) — 25KB
• a2024ex99financialguidance.htm (EX-99.1) — 19KB
• mdurlogo.jpg (GRAPHIC) — 40KB
• 0000067716-24-000022.txt ( ) — 255KB
• mdu-20240313.xsd (EX-101.SCH) — 2KB
• mdu-20240313_def.xml (EX-101.DEF) — 14KB
• mdu-20240313_lab.xml (EX-101.LAB) — 25KB
• mdu-20240313_pre.xml (EX-101.PRE) — 15KB
• mdu-20240313_htm.xml (XML) — 3KB

01. Regulation FD Disclosure

Item 7.01. Regulation FD Disclosure. On March 13, 2024, MDU Resources Group, Inc. issued a press release affirming its 2024 financial guidance and providing an updated long-term earnings per share growth rate outlook. A copy of the press release is attached as Exhibit 99.1 hereto and incorporated by reference herein. The information in this Item 7.01, including Exhibit 99.1, shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liabilities of that section, nor shall such information, including Exhibit 99.1, be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing. The information set forth herein, including Exhibit 99.1, will not be deemed an admission as to the materiality of any information required to be disclosed solely to satisfy the requirements of Regulation FD.

01. Financial Statements and Exhibits

Item 9.01. Financial Statements and Exhibits. (d) Exhibits. Exhibit Number Description 99.1 Press release of MDU Resources Group, Inc., dated March 13, 2024. 104 Cover Page Interactive Data File (embedded within the Inline XBRL document). 2 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. Date: March 13, 2024 MDU Resources Group, Inc. By: /s/ Paul R. Sanderson Paul R. Sanderson Vice President, Chief Legal Officer and Secretary 3

View Full Filing

View this 8-K filing on SEC EDGAR