Wedoany.com Report on Feb 7th, NRG Energy has recently officially completed the acquisition of a portfolio of power assets from LS Power Group. This transaction involves 18 natural gas-fired power generation facilities with a total installed capacity of approximately 13 gigawatts, and also includes CPower's commercial and industrial virtual power plant platform.
The total value of this power asset transaction is close to $12 billion, paid through a combination of cash and common stock. The specific composition includes $6.4 billion in cash, $2.8 billion in stock, $3.2 billion in net debt assumed at the transaction's closing, and approximately $400 million in net present value of tax benefits.
Through this acquisition, NRG's total generation capacity has increased to approximately 25 gigawatts, effectively doubling its scale. The newly added assets are primarily located in the Northeastern United States and Texas, including fast-start generation facilities and virtual power plant technology. This will enhance the company's competitiveness in core power markets.
NRG completed this power asset transaction after obtaining all necessary regulatory approvals. The U.S. Department of Justice approved the antitrust review on January 23, following prior authorizations from the Federal Energy Regulatory Commission and the New York State Public Service Commission.
The company stated that the expanded platform will provide more comprehensive energy supply and flexible demand management solutions for residential, commercial, and large-load customers against the backdrop of continuously growing energy demand. Larry Coben, Chairman and CEO of NRG, said: "This transaction builds on the strengths of our existing platform, enabling NRG to provide a broader, more economical, and more resilient range of solutions for customers of all sizes, from data centers to homes. We are better serving the 8 million customers who rely on us daily by enhancing our scale and reliability."
After integrating these new assets, NRG plans to further improve grid economics and reliability through diversified supply strategies and an expanded operational network.
