STORY: :: Amazon Web Service
Two powerhouse utility companies are merging as the AI boom fuels data center demand.
:: NextEra Energy
NextEra Energy on Monday said it will buy Dominion Energy in an all-stock transaction valued at nearly $67 billion.
:: Dominion Energy
The deal is one of the biggest in the U.S. power industry, and will create the world's largest regulated electric utility company by market value.
:: NextEra Energy
:: Amazon Web Service
The transaction gives NextEra greater reach into supplying electricity to Big Tech's burgeoning data centers, with Dominion's customers including Alphabet, Amazon, Microsoft, Meta and CoreWeave.
:: Archive
It also follows an agreement NextEra made last year with Google to reopen a nuclear power plant in Iowa.
The energy sector has seen a wave of consolidation recently as rapid data-center buildout lifts power demand for the first time in two decades, opening up a lucrative revenue stream and boosting profit prospects.
:: Archive
This year, AES Corp agreed to be acquired by a consortium led by Global Infrastructure Partners and Swedish private-equity firm EQT. That followed Constellation Energy's deal for Calpine and Blackstone's purchase of TXNM Energy last year.
Monday's announcement sent shares of NextEra lower by as much as five-and-a-half percent, while Dominion's stock rose as much as eleven-and-a-half percent to its highest level since November of 2022.
