Calpine to be acquired by Constellation Energy in $16.4 billion deal
Deal News | Jan 12, 2025 | White & Case
White & Case LLP, a global law firm, played a pivotal advisory role in the acquisition of Calpine Corporation by Constellation Energy Corporation. The transaction is valued at approximately US$16.4 billion, combining cash and stock elements, including the assumption of Calpine’s net debt. The deal will position the newly combined entity as the United States' largest clean energy provider, vastly expanding its capability to offer diverse energy and sustainability solutions to a nationwide customer base, including 2.5 million retail electric consumers. Calpine is known as the largest US producer of energy from low-emission natural gas and geothermal sources. The team at White & Case was led by several partners across various specializations, based in key locations such as New York, Houston, and Washington, DC.
Sectors
- Energy
- Legal Services
Geography
- United States – The transaction involves Calpine and Constellation Energy, both significant entities within the US energy sector, impacting the national market.
Industry
- Energy – The article discusses the acquisition involving two significant players in the energy sector, focusing on clean energy and competitive retail electric supply.
- Legal Services – White & Case LLP, a law firm, is prominently involved in providing advisory services pertaining to the acquisition deal.
Financials
- US$16.4 billion – Total value of the acquisition deal between Constellation Energy and Calpine, including equity purchase, cash component, and net debt assumption.
- US$4.5 billion – Cash component of the acquisition paid by Constellation Energy.
- 50 million shares – Shares of Constellation stock issued as part of the acquisition deal.
- US$12.7 billion – Net debt of Calpine assumed by Constellation as part of the transaction.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Calpine Corporation | Target Company | Company | Calpine is the largest US producer of energy from low-emission natural gas and a significant player in renewable energy. |
| Constellation Energy Corporation | Bidding Company | Company | Constellation is involved in acquiring Calpine, aiming to become the largest clean energy provider in the US. |
| White & Case LLP | Legal Advisor | Company | A global law firm that advised Calpine on its acquisition by Constellation. |