Constellation buying Calpine in $26.6 billion deal that would join two huge US power companies

Joe Dominguez أخبار

Constellation buying Calpine in $26.6 billion deal that would join two huge US power companies
Business

Constellation is buying power natural gas and geothermal power provider Calpine in a cash-and-stock deal valued at approximately $16.4 billion, joining together two of the country’s biggest power companies.

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The transaction includes 50 million shares of Constellation stock, $4.5 billion in cash and the assumption of approximately $12.7 billion of Calpine debt. When accounting for cash expected to be generated by Calpine between signing and the expected closing date of the deal, and the value of tax attributes at Calpine, the companies put the purchase price at $26.6 billion.

“By combining Constellation’s unmatched expertise in zero-emission nuclear energy with Calpine’s industry-leading, best-in-class, low-carbon natural gas and geothermal generation fleets, we will be able to offer the broadest array of energy products and services available in the industry," Constellation CEO Joe Dominguez said in a prepared statement Friday.

The transaction is expected to close within a year of its signing. It will need regulatory approvals from the Federal Energy Regulatory Commission, the Canadian Competition Bureau, the New York Public Service Commission, the Public Utility Commission of Texas and other regulatory agencies.

 

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Constellation buying Calpine in $26.6 billion deal that would join two huge US power companiesConstellation buying Calpine in $26.6 billion deal that would join two huge US power companiesConstellation is buying power natural gas and geothermal power provider Calpine in a cash-and-stock deal valued at approximately $16.4 billion, joining together two of the country’s biggest power companies.
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