AP
12/14/19
One of the world’s largest banks will reap a windfall from the University of Iowa’s multi-billion-dollar plan to outsource its utility operations before students or faculty see any benefit from the deal. Wells Fargo is expected to get nearly 1% of the nearly $1.2 billion payment that the university has negotiated for leasing its utility system to a private operator. A university spokeswoman estimates Wells Fargo will receive about $10.45 million. The university hired the bank as its strategic advisor on the transaction.
The Iowa Board of Regents on Tuesday awarded a 50-year contract to a newly-formed French consortium made up of energy company ENGIE and investor and asset manager Meridiam.
The company will operate the UI’s steam, cooling, water, and electricity infrastructure.