Vistra buys Cogentrix Energy for $4.7 billion amid rising power demand
Utility Vistra announced on Monday that it has agreed to purchase Cogentrix Energy from Quantum Capital Group for $4.7 billion. The company is looking to meet the growing demand for power.
The shares of the company increased by nearly 5% during extended trading.
The Texas-based electricity company said that the deal included $2.3 billion cash, $900 millions in Vistra shares and $1.5 billion of debt. Tax benefits are expected to offset some of this amount.
This deal follows Vistra’s $1.9 billion purchase of seven gas-fired power plants from Lotus Infrastructure Partners in May 2025. The combined capacity was nearly 2,600 Megawatts.
Energy Information Administration (EIA) estimates that electricity consumption in the U.S. will reach "record highs" in 2026. This is due to the surge in demand for data centers, which are racing to support Big Tech’s AI ambitions.
The acquisition includes four combined cycle -gas turbine facilities within ISO New England, three combined cycle -gas turbines in PJM and one cogeneration plant in ERCOT.
The addition of this portfolio of natural?gas is a great start to another year of growth for Vistra, as we have completed, acquired or developed projects within each of the competitive power regions in which we operate," stated Vistra's?CEO Jim Burke.
Vistra will be able to diversify its geographic footprint and increase its capacity by 5,500 megawatts across the most important power regions of North America.
The transaction should close by the end of 2026. Reporting by Yagnoseni das in Bengaluru, editing by Shilpa Majumdar and Alan Barona
(source: Reuters)
