Dominion Energy Inc (NYSE:D) shares jumped more than 11% in premarket trading on Monday following reports that NextEra Energy Inc (NYSE:NEE) is in discussions to acquire the utility company in a deal valued at roughly $66 billion.
NextEra reportedly preparing mostly stock-based offer
According to a Bloomberg report published Sunday, NextEra is considering a transaction that would value Dominion shares at approximately $76 each.
The proposed structure would consist primarily of stock, with NextEra expected to offer around 0.8 shares of its own stock for each Dominion share, according to people familiar with the matter cited in the report.
Bloomberg also reported that the deal would include a limited cash component and that existing NextEra shareholders would control around 75% of the combined company following completion of the transaction.
The reported offer represents a premium of about 21% compared with Dominion’s closing share price on Friday.
Deal could rank among largest utility transactions
Reports of a possible takeover first emerged late last week, with a formal proposal potentially arriving as soon as Monday.
If completed, the acquisition of Dominion by NextEra would become one of the largest utility-sector transactions ever completed in the United States and would create a major power and infrastructure group operating across multiple states.
NextEra is currently the largest power grid operator in the United States, and its interest in Dominion is viewed as part of a broader strategy to expand its exposure to electricity demand linked to artificial intelligence data centers.