NextEra to buy Dominion in $66.8 billion power deal amid AI boom

NextEra Energy plans to acquire Dominion Energy in an all-stock transaction worth approximately $66.8 billion, creating the world’s largest regulated electric utility.
The acquisition is driven by the surging demand for electricity due to the boom in data centers associated with artificial intelligence.
This deal is part of a wave of consolidation in the U.S. power industry, spurred by a rapid build-out of data centers that increase power demand for the first time in two decades.
NextEra will exchange 0.8138 of its stock for each share of Dominion, valuing Dominion at $75.97 per share, which represents a 23% premium to its last close.
The transaction reflects NextEra’s attempt to expand into the PJM Interconnection region and seize opportunities in Virginia, a major data-center market.
Regulatory scrutiny is expected as the deal could face challenges from regulators, consumer advocates, and lawmakers over market concentration, electricity prices, and grid reliability.
The deal is anticipated to close within 12-18 months, pending antitrust review, shareholder and regulatory approvals from relevant federal and state regulatory bodies.
U.S. power prices have increased by around 40% over the past five years, with significant rises in electricity costs noted in states with major data center hubs like Virginia, Maryland, and Pennsylvania.
Upon completion of the merger, NextEra CEO John Ketchum is expected to lead the combined company.

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