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Talen Energy is acquiring approximately 2.6 gigawatts of natural gas generation capacity through the $3.45 billion purchase of the Waterford Energy Center and Darby Generating Station in Ohio, along with the Lawrenceburg Power Plant in Indiana from Energy Capital Partners. The deal includes $2.55 billion in cash and $900 million in Talen stock, reflecting a valuation of about 6.6 times projected 2027 adjusted EBITDA.

Talen expects the acquisition to enhance its position in the western PJM market and increase adjusted free cash flow per share by over 15% annually through 2030. The transaction is projected to close in early 2026, pending regulatory approvals. Talen will issue 2.4 million shares to ECP, resulting in ECP owning approximately 5% of Talen's equity post-transaction.