By Nate Wolf
NRG Energy stock was climbing Monday after the company announced an agreement to acquire a portfolio of natural gas generation facilities from energy infrastructure company LS Power Equity Advisors.
The deal with LS Power, which has an enterprise value of $12 billion, will give NRG Energy an additional 18 facilities across nine states and double the company's power-generation capacity. NRG hopes the new plants will strengthen its ability to meet growing demand from energy-hungry data centers, in particular.
"This acquisition transforms NRG's generation fleet and broadens our customized product offerings," CEO Larry Coben said in a press release.
The announcement came shortly before the company posted first-quarter adjusted earnings of $2.68 a share on revenue of $8.6 billion, surging past Wall Street's calls for $1.75 and $7.9 billion, respectively.
NRG shares jumped 22% to $145.15 on Monday and were on pace for an all-time high. NRG shares had risen 32% in 2025 as of the close of trading Friday.
The company reaffirmed its 2025 earnings expectations but boosted its five-year outlook following the deal with LS Power. Management is now targeting adjusted earnings per share growth of 14%, compounded annually, compared with a previous target of 10%.
NRG shares had risen 32% in 2025 as of the close of trading Friday.
Write to Nate Wolf at nate.wolf@barrons.com
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May 12, 2025 10:01 ET (14:01 GMT)
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