US power producer NRG Energy agreed to sell six natural gas plants to LS Power for 4 billion dollars in cash, subject to closing adjustments. The portfolio has 4.9 gigawatts of capacity. Completion is expected in the second quarter of 2027 and requires regulatory approvals; NRG will retain other assets bought from LS Power in January.
US electricity producer NRG Energy signed an agreement on 9 November to sell six natural gas power plants to LS Power.[1], [2]
The agreed cash consideration is 4 billion dollars, subject to customary closing adjustments. The six plants together have generating capacity of 4.9 gigawatts. NRG said it would retain other assets acquired from LS Power in January.[1]
NRG expects completion in the second quarter of 2027, subject to customary conditions and regulatory approvals. These include antitrust clearance and authorization from the Federal Energy Regulatory Commission, the US energy regulator, and the New York Public Service Commission, which oversees utilities in the state.[1]
NRG linked the sale proceeds to additional share repurchases and debt reduction. Its plans include an extra 1 billion dollars in repurchases expected to begin before year-end and an additional 2 billion dollars of debt reduction upon completion of the sale. The remaining 1 billion dollars of expected proceeds would be available for contracted growth investment or further debt reduction.[2]
