CMS Energy's Unit To Invest $250M In Michigan's Businesses
Zacks Investment Research | Oct 11, 2017 09:05PM ET
CMS Energy Corporation’s (NYSE:CMS) principal subsidiary, Consumers Energy recently announced that it will invest approximately $250 million to boost small businesses in Michigan over the next two and a half years, under the Pure Michigan Business Connect (PMBC) initiative.
About PMBC
The Pure Michigan Business Connect (PMBC) developed by the Michigan Economic Development Corporation (MEDC) began as a multi-billion dollar public/private initiative in 2011. The initiative aims at connecting Michigan goods and service suppliers with corporate purchasers free of charge.
Our View
We note that, being one of the founding members of PMBC, Consumers Energy has already spent approximately $2.9 billion with Michigan businesses under the initiative since June 2015. CMS Energy’s robust financial commitment toward the PMBC program not only reflects the solid financial flexibility it boasts but also is a testament to the company’s focus on expanding its business across Michigan.
Moreover, PMBC’s commitment to generate new jobs is in line with the company’s aim of stimulating economic growth in the state. This in turn will aid small businesses to flourish.
We believe CMS Energy aims at expanding customer base by boosting the small businesses. Indeed if business expansion takes place in the state, need for energy consumption will rise and CMS Energy being the largest energy provider in Michigan will surely benefit from that.
As of 2015, Michigan is ranked 11th among the U.S. states in terms of energy consumption and with gradual growth in economy, the energy consumption is likely to grow. To tap this expanding market, energy providers like CMS Energy are taking varied initiatives to instil growth in the state and consequently enhance their business.
Toward this, another utility provider, DTE Energy Company (NYSE:DTE) has recently commenced operations in its Lapeer solar park — one of the largest utility-owned solar parks, located in Michigan. On completion, the park is expected to generate sufficient clean energy to power 11,000 homes. (Read more : Zacks Investment Research
Get The News You Want
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.