Molly Dill
Molly Dill, former BizTimes Milwaukee managing editor.
Consolidation of Power: Wisconsin Energy’s Integrys acquisition creates massive utility firm
With six utilities serving 4.4 million electric and natural gas customers in four states, Milwaukee-based WEC Energy Group is now one of the largest utilities – and one of the largest corporations – in the country.
The company was formed through Milwaukee-based Wisconsin Energy Corp.'s recent $9 billion acquisition of Chicago-based Integrys Energy Group. It was the largest non-bank acquisition ever made by a Wisconsin company.
The Integrys acquisition will likely bring more jobs to the Milwaukee area and should slow the growth of utility rates for Wisconsin energy consumers.
But the yearlong process of gathering OKs from both companies' shareholders, as well as federal and state regulators, was only the beginning. WEC is in the process of integrating two massive corporations and setting the course for its future, even as energy demand has plateaued and aging infrastructure demands to be replaced.
The company was formed through Milwaukee-based Wisconsin Energy Corp.'s recent $9 billion acquisition of Chicago-based Integrys Energy Group. It was the largest non-bank acquisition ever made by a Wisconsin company.
The Integrys acquisition will likely bring more jobs to the Milwaukee area and should slow the growth of utility rates for Wisconsin energy consumers.
But the yearlong process of gathering OKs from both companies' shareholders, as well as federal and state regulators, was only the beginning. WEC is in the process of integrating two massive corporations and setting the course for its future, even as energy demand has plateaued and aging infrastructure demands to be replaced.
Hatching a Business
Wisconsin was recently ranked dead last nationwide in business startup activity. While some take issue with what the ranking measured, the fact remains that Wisconsin isn't exactly known for churning out innovative new companies.
‘Making Deals:’ Einhorns target technology startups in Midwest
Daniel Einhorn isn't big on PowerPoint presentations. He used to give them, but found he never quite got all the way through his slides.
When an early stage company pitches him seeking an investment from his Mequon-based venture capital firm, Capital Midwest Fund, he likes to hear the initial presentation in about 10 minutes.
What Einhorn is most interested in at the first meeting is how the entrepreneur plans to get the product into the market. He asks a series of questions to which he expects thoughtful responses.
“What I'm trying to learn in that first meeting is critical thinking,” Einhorn said. “What I have learned in the last 10 years is it is almost exclusively about management. You have your product, you have your technology. You wouldn't have gotten to see me without having something there.”
He doesn't care whether the company does direct sales or distribution. What he cares about is why you chose one over the other and the thought process behind the decision.
Einhorn and his team at Capital Midwest are among a small group offering venture capital investments in Wisconsin.
Wisconsin companies completed 10 venture capital deals worth a total of $18.5 million in the first quarter of 2015, while California saw 420 deals totaling $8 billion, according to a MoneyTree Report by PwC and the National Venture Capital Association, which was based on data from Thomson Reuters.
It's safe to say Wisconsin doesn't hold a candle to Silicon Valley when it comes to venture capital investment. However, that figure is an improvement over the first quarter of 2012, when just two venture capital deals were completed in Wisconsin, totaling about $4.5 million.
When an early stage company pitches him seeking an investment from his Mequon-based venture capital firm, Capital Midwest Fund, he likes to hear the initial presentation in about 10 minutes.
What Einhorn is most interested in at the first meeting is how the entrepreneur plans to get the product into the market. He asks a series of questions to which he expects thoughtful responses.
“What I'm trying to learn in that first meeting is critical thinking,” Einhorn said. “What I have learned in the last 10 years is it is almost exclusively about management. You have your product, you have your technology. You wouldn't have gotten to see me without having something there.”
He doesn't care whether the company does direct sales or distribution. What he cares about is why you chose one over the other and the thought process behind the decision.
Einhorn and his team at Capital Midwest are among a small group offering venture capital investments in Wisconsin.
Wisconsin companies completed 10 venture capital deals worth a total of $18.5 million in the first quarter of 2015, while California saw 420 deals totaling $8 billion, according to a MoneyTree Report by PwC and the National Venture Capital Association, which was based on data from Thomson Reuters.
It's safe to say Wisconsin doesn't hold a candle to Silicon Valley when it comes to venture capital investment. However, that figure is an improvement over the first quarter of 2012, when just two venture capital deals were completed in Wisconsin, totaling about $4.5 million.
A piece of the pie: Employee Stock Ownership Plans provide unique...
Ruekert & Mielke Inc. owner Bill Mielke started thinking about his eventual exit from the Waukesha-based civil and municipal engineering firm about 20 years ago.
