LONDON – Pantheon Infrastructure PLC (LSE:PINT), a global infrastructure fund, has disclosed details of the sale of Calpine Corporation, a major US power producer, Constellation energy Corporation (NYSE:NASDAQ:). The transaction, announced on January 10, 2025, includes a combination of cash and Constellation stock, valuing Calpine’s equity at approximately $16.4 billion.
Sold by Energy Capital Partners (WA:) for Constellation consists of approximately 25% in cash and 75% in Constellation stock, which will be subject to certain lock-up restrictions. The equity valuation is based on Constellation’s 20-day volume-weighted average share price as of January 10, 2025. Completion of the sale is subject to various regulatory clearances and approvals, which are expected within the next 12 months.
For Pantheon Infrastructure, the sale is significant as it marks the first realization since the initial public offering (IPO) and is a key demonstration of the company’s investment strategy. The transaction is expected to increase Pantheon’s net asset value (NAV) by approximately 3p per share, equating to a 2.6% increase over the NAV reported on 30 September 2024.
Calpine, one of the largest geothermal power producers in the United States, operates in several power markets, including CAISO in California, ERCOT in Texas and PJM, which covers 13 states and the District of Columbia. The current capacity of the company for electricity production is 27 gigawatts.
Pantheon Infrastructure’s initial investment in Calpine was made in June 2022, for approximately $54 million, with the use of currency hedging instruments to mitigate potential currency risks.
Details of the expected use of proceeds from the sale of Calpine will be provided by Pantheon Infrastructure in due course. The published information is based on the Pantheon Infrastructure PLC press release.
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