US DTE Energy Signs Agreement to Sell Approximately $3 Billion of Non-Utility Businesses

en.Wedoany.com Reported - On November 5, US energy company DTE Energy issued an asset sale announcement, having reached an agreement with institutional investors advised by J.P. Morgan Asset Management's global infrastructure group to sell the majority of its DTE Vantage non-utility businesses for approximately $3 billion. The transaction is expected to close in the first half of 2027, with proceeds to be used to expand investment in its regulated electric and natural gas utilities.

The sale covers DTE Vantage's renewable natural gas recovery, wholesale power, renewable energy and on-site energy project assets, while the EES Coke metallurgical coke business will be retained by DTE. Completion of the transaction remains subject to receipt of relevant regulatory approvals and satisfaction of other customary closing conditions.

DTE plans to invest the transaction proceeds in its electric and natural gas utilities and reduce corresponding equity and debt financing needs. The company has also deferred $500 million of equity financing originally scheduled for issuance through forward contracts in 2026 to 2027, and will subsequently determine debt repayment and equity financing arrangements based on the progress of the asset sale.

According to the capital expenditure plan announced concurrently, DTE plans to invest approximately $44 billion over the next five years, of which approximately $23 billion will be allocated to clean energy generation, $12 billion to distribution system reliability and capacity enhancement, $4 billion to existing electric infrastructure, and $5 billion to natural gas infrastructure. The company plans to reduce the frequency of outages through distribution investment and increase power supply capacity to meet data center electricity demand.

As of September 30, 2026, DTE had invested nearly $4.1 billion of capital in its utilities, against a full-year investment target of $6.1 billion. The company also disclosed the same day that its planned data center power supply agreement with Google in Michigan has received regulatory approval, under which the data center customer will bear the energy and grid investment costs required to supply power to it.