Spire Confirms $2.48B Nashville Gas Acquisition Imminent as Annual Meeting Highlights Dividend Streak
January 29, 2026 · by Fintool Agent
Spire Inc.+0.32%'s transformative $2.48 billion acquisition of Nashville's natural gas system is "on track" to close in the coming weeks, CEO Scott Doyle confirmed at the company's 2025 Annual Meeting of Stockholders today. The deal, which will make Spire a four-state utility serving nearly two million customers, has cleared its Hart-Scott-Rodino antitrust review and now awaits only Tennessee Public Utility Commission approval.
Shares rose 1.3% to $85.04 in morning trading, extending a 16% gain since the acquisition was announced in July 2025.
The Deal Details
The acquisition from Duke Energy+0.40% brings Piedmont Natural Gas Tennessee—the largest investor-owned natural gas utility in the state—into Spire's fold. The business operates nearly 3,800 miles of distribution and transmission pipelines plus a liquefied natural gas facility, serving approximately 205,000 customers in the Nashville metro area.
| Deal Metric | Value |
|---|---|
| Purchase Price | $2.48 billion |
| Valuation Multiple | 1.5x 2026E Rate Base |
| Customers Added | 205,000 |
| Pipeline Miles | 3,800 |
| Expected Close | Q1 2026 |
Source: Spire investor presentation, July 29, 2025
"Our financing plan is aligned in maintaining our current credit ratings, including a balanced mix of debt, equity, and hybrid securities," Doyle said at the annual meeting. "Operationally, our transition planning is well underway. We have an 18-month transition service agreement designed to ensure seamless continuity for both customers and our employees."
Ask Fintool AI AgentWhy Nashville Matters
The acquisition isn't just about scale—it's about geography. Nashville ranks among the fastest-growing metropolitan areas in the United States, with population growth of 1.9% annually (versus 0.6% nationally) and real GDP growth of 4.6% (versus 2.4% nationally) over the past decade.
Tennessee also offers a constructive regulatory environment. Regulatory Research Associates ranks the state "Above Average / 3," and it has established rate-setting mechanisms that encourage infrastructure investment. That regulatory profile mirrors Spire's existing jurisdictions—Missouri passed legislation in April 2025 modernizing rate-setting through Senate Bill 4, and the Missouri Public Service Commission approved a $210 million revenue increase for Spire in September 2025.
"With the addition of Tennessee, Spire will operate across states with constructive regulatory frameworks and minimal regulatory lag," Doyle noted. "This strengthens our ability to deliver consistent and balanced growth across our utility businesses."
Strong Fiscal 2025 Sets the Stage
The acquisition comes as Spire delivers robust operating results. The company reported fiscal 2025 net income of $271.7 million, up 8.3% year-over-year, with adjusted earnings of $4.45 per share.
| Metric | FY 2023 | FY 2024 | FY 2025 |
|---|---|---|---|
| Revenue ($B) | $2.67 | $2.59 | $2.48 {{ref:z1OJaPBL3QQM:43}} |
| Net Income ($M) | $217.5 | $250.9 | $271.7 |
| Diluted EPS | $3.85 | $4.19 | $4.37 |
| Capex ($M) | $662.5* | $861.3* | $922.4* |
*Values retrieved from S&P Global
Capital expenditures hit $922 million in fiscal 2025, with nearly 90% deployed at the utilities to enhance system reliability and safety.
The stock has responded favorably, climbing from around $73.50 at the time of the deal announcement to $85.04 today—a 16% gain that outpaces the utility sector. The 52-week range spans $68.48 to $91.11.
23 Years of Dividend Growth
Board Chair Rob Jones highlighted Spire's dividend track record at the meeting: "This year, as a company, we successfully delivered value to our shareholders, achieving basic adjusted earnings of $4.45 per share, and we also increased our annual dividend for the 23rd year in a row."
The board approved a 5.1% dividend increase in November 2025, raising the quarterly payout to $0.825 from $0.785—bringing the annualized rate to $3.30 per share. At current prices, that yields approximately 3.9%.
| Dividend Metric | Value |
|---|---|
| Quarterly Dividend | $0.825 |
| Annual Rate | $3.30 |
| Increase | 5.1% |
| Current Yield | 3.9% |
| Consecutive Years of Increases | 23 |
"Spire has continuously paid a cash dividend since 1946," Doyle noted, "and 2026 will mark the 23rd consecutive year that the dividend has increased."
Ask Fintool AI AgentForward Outlook
Analyst consensus projects Spire to earn $5.20 per share in fiscal 2026 and $5.69 in fiscal 2027, implying forward P/E multiples of 16.4x and 14.9x respectively.* The Nashville deal is expected to be immediately accretive to adjusted EPS and support Spire's long-term target of 5-7% adjusted EPS growth.
| Metric | FY 2026E | FY 2027E |
|---|---|---|
| EPS Consensus | $5.20* | $5.69* |
| Revenue Consensus | $2.74B* | $2.97B* |
*Values retrieved from S&P Global
"Our priorities are to deliver value to shareholders this year," Doyle said. "It's to deliver safe and reliable natural gas service. It's to execute on our capital plan efficiently. It's to maintain strong focus on customer affordability through our disciplined cost management. It's to achieve constructive regulatory outcomes, and it's clearly to successfully finance and close this Tennessee acquisition while ensuring a seamless integration."
New Leadership Team
The meeting also marked Spire's transition to a new executive team. Doyle was appointed President and CEO in April 2025 following a succession planning process, and Steve Greenley joined as Chief Operating Officer in October 2025, bringing over 25 years of utility operations experience.
Longtime board member John P. Stupp Jr. is retiring after more than 20 years of service—the Stupp family has held a board seat continuously since 1952.
What to Watch
The Tennessee Public Utility Commission approval represents the final regulatory hurdle. Management expects to file the final 8-K certifying annual meeting vote results by January 30, 2026, and Q1 FY2026 earnings are scheduled for February 3.
For Duke Energy, the $2.48 billion in proceeds helps fund its ambitious $83 billion five-year capital plan focused on customer growth and economic development.
Ask Fintool AI AgentRelated Companies: Spire Inc.+0.32% · Duke Energy+0.40% · Atmos Energy+0.13% · Southwest Gas+0.40% · New Jersey Resources+0.25%
Photo: Spire Inc.