Jan 9, 2025 - Energy & Climate

Constellation agrees to buy Calpine

Dan Primack

Calpine power plant — Photo: Ken James/Bloomberg via Getty Images

Constellation Energy confirmed a deal Friday to acquire power producer Calpine, a Houston operator of gas-fired power plants. The deal was announced with a value of $26.6 billion.

Why it matters This would force a major messaging shift for Constellation, a nuclear power giant that touts how most of its energy is "emissions free."

By the numbers: Calpine was taken private in 2018 for $17 billion by Energy Capital Partners, Access Industries, and CPP Investments.

Constellation, which spun off from Exelon in 2022, saw its share price more than double last year, which is what would enable it to buy Calpine.

The bottom line: This is all about rising U.S. energy demand, particularly from data centers.

Editor's note: The story was updated with details of the deal on Friday.

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Constellation agrees to buy Calpine

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