Constellation Agrees To Acquire Ownership Stake In Texas Nuclear Plant From NRG Energy
Portfolio Pulse from Benzinga Newsdesk
Constellation is acquiring NRG Energy's 44% ownership stake in the South Texas Project Electric Generating Station, a 2,645-megawatt nuclear plant, for $1.75 billion. The effective purchase price is $1.4 billion after considering tax benefits.

June 01, 2023 | 10:53 am
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NEUTRAL IMPACT
NRG Energy sells its 44% ownership stake in the South Texas Project nuclear plant to Constellation for $1.75 billion, with an effective purchase price of $1.4 billion after tax benefits.
NRG Energy's sale of its 44% stake in the South Texas Project nuclear plant will result in a cash inflow of $1.75 billion. However, the impact on the stock price is uncertain as the company may use the proceeds for various purposes, such as debt reduction, investments, or returning capital to shareholders. The short-term impact on the stock price will depend on how the market perceives the company's use of the proceeds.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 100
POSITIVE IMPACT
Constellation acquires a 44% stake in the South Texas Project nuclear plant from NRG Energy for $1.75 billion, expanding its carbon-free nuclear fleet.
Constellation's acquisition of the 44% stake in the South Texas Project nuclear plant will expand its carbon-free nuclear fleet, which is the largest in the nation. This acquisition is likely to have a positive impact on the company's stock price in the short term as it strengthens its position in the energy market.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100