DOJ Settlement Clears Way for Constellation’s $16.4 Billion Calpine Acquisition

Overview

• Constellation agreed to sell five natural gas‑fired plants, including facilities in Pennsylvania, Texas, and Delaware, to satisfy the DOJ settlement.
• The Justice Department, which had sued to block the merger, said the remedy protects electricity customers by preserving competition.
• FERC had previously conditioned its approval on the sale of four Calpine assets in the Mid‑Atlantic region.
• Regulatory clearances from state commissions, including New York and Texas, are complete, and closing now awaits a court’s approval of the settlement order.
• The transaction combines Constellation’s nuclear fleet with Calpine’s gas and geothermal portfolio to form the nation’s largest power generator, with Constellation assuming about $12.7 billion of Calpine’s net debt.