BlackRock’s GIP and EQT to Buy AES for $10.7 Billion
BlackRock Inc.’s Global Infrastructure Partners LP and EQT AB agreed to buy AES Corp. for about $10.7 billion in cash as the market heats up for power plant developers that can provide electricity for energy-hungry AI data centers.
GIP and EQT will pay $15 per share for AES, a utility and power producer, it said in a statement Monday. The enterprise value of the deal is about $33.4 billion.
The $15 per share is below Friday’s closing price of $17.28, after M&A speculation fueled a rally in the stock. However, the transaction represents about a 40% premium to the 30-day volume weighted average share price prior to July 8, the day before Bloomberg News reported that AES was exploring a sale and attracting interest from infrastructure investors including GIP.
AES’ shares slumped more than 16% before the start of regular trading Monday in New York, to $14.41.
The deal underscores the rising importance of power providers in the AI data center build-out with the sector seeing more than $280 billion in mergers and acquisitions announced since the start of 2025, according to data compiled by Bloomberg.
GIP and EQT are betting that AES will benefit from the surging electricity needs of massive computing facilities being constructed by technology companies. The power provider has struck deals to provide renewable power to developers including Google, Microsoft Corp. and Amazon.com Inc.
AES had explored strategic options after receiving takeover interest from infrastructure investors last year. In February, Bloomberg News reported that GIP and EQT were nearing a deal to acquire the company.
AES executives have said that public markets are undervaluing the company, which owns a fleet of renewable generation equipment, including wind and solar, as well as natural gas and coal assets and a utility in both Indiana and Ohio.
JPMorgan Chase & Co. as well as Wells Fargo & Co. advised AES while Goldman Sachs Group Inc. worked with GIP and Citigroup Inc. advised EQT.
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Bloomberg News provided this article. For more articles like this please visit bloomberg.com.
