The assets include 18 natural gas-fired facilities across nine states, totalling around 13GW.
The enterprise value includes $6.4 billion in cash, $2.8 billion in stock to LS Power, $3.2 billion in assumed net debt, and about $400 million in tax benefits’ net present value. LS Power will hold an 11% stake in NRG’s outstanding shares, subject to a six-month lock-up period.
The acquisition encompasses 18 natural gas-fired facilities across nine U.S. states, totaling 13 GW, and CPower, a C&I VPP platform, strengthening NRG’s position in deregulated energy markets. NRG projects an increase in its adjusted earnings per share growth rate to at least 14% annually, up from 10%, and plans to return $9.1 billion to shareholders through repurchases and dividends over the next five years.
NRG’s chair, president, and CEO stated: “The transaction is financially compelling as it strengthens our credit profile and turbocharges NRG’s growth rate, while also supporting continued robust capital returns. We are in the early stages of a power demand supercycle, and we are excited to lead the way with reliable energy solutions that will drive considerable value for NRG and all of our stakeholders.”
The acquired assets enhance NRG’s ability to serve customers in the Northeast and Texas markets. NRG aims to maintain a strong financial position, targeting its leverage ratio within 24–36 months post-closing. The transaction, advised by Citi and Goldman Sachs for NRG and Evercore, J.P. Morgan, and Morgan Stanley for LS Power, is set to close in the first quarter of 2026, pending regulatory approvals.
LS Power will retain 10 GW of generation capacity and its LS Power Grid platform, which includes over 780 miles of high-voltage transmission lines. This follows NRG’s March 2025 agreement to acquire six Texas power plants from Rockland Capital for $560 million, further expanding its energy portfolio.
This acquisition positions NRG to meet growing energy demands with reliable, high-quality assets, supporting sustainable growth and customer-focused energy solutions across key U.S. markets.
