NiSource Inc (NI) will raise its quarterly dividend to $0.155 per share, up 51.7 percent from last year. This payment will be the first dividend payment made following the separation of Columbia Pipeline Group, Inc. (ticker CPGX) from NiSource, which was completed on July 1, 2015. While the payout amount announced today is lower than prior quarters due to the separation, it is consistent with the company's intention to increase the combined (NiSource and Columbia Pipeline Group) dividend announced on May 12. As announced previously, going forward NiSource will target a dividend growth rate of 4 to 6 percent annually.

"The Board's action today delivers on one of our core commitments to shareholders following the separation," said NiSource President and Chief Executive Officer Joseph Hamrock. "Our business plan, supported by approximately $30 billion in expected long-term customer-focused system-enhancement opportunities offers a compelling growth investment proposition with significant clarity and scale, and a track record of proven execution."

NiSource Inc. is an energy holding company. The company operates a natural gas pipeline and provides natural gas service and transportation for residential, commercial and industrial customers in Ohio, Pennsylvania, Virginia, Kentucky, Maryland, Indiana and Massachusetts. NiSource also provides electric service in the northern part of Indiana. The company's subsidiary NIPSCO owns and operates coal-fired electric generating stations.