NRG Energy Agrees to $4B Natural Gas Asset Divestiture to LS Power
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Key Takeaways
- NRG Energy is divesting six natural gas power plants to LS Power for $4 billion in cash.
- The transaction is valued at an 8.0x multiple of the assets' projected 2027 Adjusted EBITDA.
- NRG will continue to operate a substantial generation portfolio in the ERCOT and PJM regions.
- The sale is subject to regulatory approvals and standard closing adjustments.
On November 9, 2026, NRG Energy, Inc. (NYSE: NRG) confirmed a definitive deal to sell a portfolio of six natural gas generation facilities to LS Power. The transaction involves a $4 billion cash payment, though the final proceeds may vary based on customary closing and working capital adjustments. According to the company, the sale price implies a valuation multiple of 8.0x based on 2027 estimated Enterprise Value to Adjusted EBITDA.
While the specific identities and locations of the six power stations were not disclosed in the announcement, NRG emphasized that the divestment allows it to monetize a specific subset of its holdings. Despite the sale, the company intends to maintain a significant operational footprint within the Electric Reliability Council of Texas (ERCOT) and the PJM Interconnection markets.
Completion of the deal is contingent upon receiving necessary regulatory clearances and meeting standard closing requirements. A specific date for the conclusion of the sale has not been provided, but the influx of capital is expected to influence NRG's balance sheet and future strategic investments in its primary markets.
