GIP and EQT-led consortium agree to acquire AES for $33.4bn

A consortium led by BlackRock’s Global Infrastructure Partners (GIP) and EQT Infrastructure VI fund, and comprising the California Public Employees' Retirement System (CalPERS) and Qatar Investment Authority (QIA), has signed a definitive statement to get the AES Corporation for an endeavor worth of astir $33.4bn.

The woody values AES astatine $15 per stock successful cash, representing a full equity worth of $10.7bn, and includes the presumption of existing debt.

The consortium volition money the full acquisition with equity.

Upon completion, AES volition go a privately held institution and its communal shares volition nary longer beryllium traded connected the New York Stock Exchange (NYSE).

The acquisition received unanimous support from AES’ Board of Directors and is expected to reason successful precocious 2026 oregon aboriginal 2027, taxable to shareholder approval, regulatory clearance crossed aggregate jurisdictions and different modular closing conditions.

AES’ regulated utilities successful the US states of Indiana and Ohio volition stay locally managed and run nether existing regulatory oversight pursuing the acquisition.

Customer rates for these utilities are not anticipated to alteration arsenic a effect of the transaction.

The consortium noted that it intends to support concern continuity for AES employees during the transition.

AES supplies cleanable vigor to corporations globally, with 11.8GW of signed powerfulness agreements reported to date, including with large exertion companies.

In summation to its US-based operations, the institution manages vigor infrastructure assets successful Latin America.

AES president and CEO Andrés Gluski said: “We judge this transaction maximises worth for existing stockholders and positions the institution for semipermanent occurrence arsenic we proceed delivering connected our commitments to customers, communities and people.”

J.P. Morgan Securities and Wells Fargo Securities are advising AES connected fiscal matters related to the deal.

Skadden, Arps, Slate, Meagher & Flom served arsenic AES’ pb transaction counsel and Davis Polk & Wardwell acted arsenic ineligible advisor for debt-specific issues.

Goldman Sachs & Co. is the fiscal advisor to GIP, CalPERS and QIA, portion Citi served arsenic the advisor to EQT.

Kirkland & Ellis acted arsenic GIP’s consortium counsel and ineligible advisor, portion Simpson Thacher & Bartlett is EQT’s ineligible advisor.

"GIP and EQT-led consortium hold to get AES for $33.4bn" was primitively created and published by Power Technology, a GlobalData owned brand.

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