The proposed $33.4 billion takeover of U.S. power company AES is facing a new regulatory challenge after a bipartisan group of federal lawmakers urged the Federal Energy Regulatory Commission to reject the transaction.
BlackRock’s Global Infrastructure Partners, EQT and other investors agreed in March to acquire AES in a transaction valued at approximately $33.4 billion including debt, making it one of the largest recent deals in the U.S. power industry.
The lawmakers argued in a September 28 letter that regulators should examine whether taking AES private could increase costs for electricity customers or create conflicts involving the investors’ exposure to rapidly expanding data-center infrastructure.
Those concerns are particularly relevant because U.S. electricity demand is increasing as artificial-intelligence data centers require enormous amounts of power.
The lawmakers’ objections are claims submitted to regulators, not established findings.
AES disputes the argument that the transaction would raise utility rates and says the deal would improve access to capital needed for grid investment.
The acquisition has already received shareholder approval and approval from Ohio regulators. Federal review remains outstanding.
AES owns regulated utility businesses including AES Indiana and AES Ohio alongside a broader portfolio of power-generation assets.
The dispute illustrates a larger shift taking place across U.S. electricity markets.
Data-center construction is creating enormous new power requirements at the same time infrastructure investors are pursuing utilities, generation assets and grid-related businesses capable of benefiting from that demand.
That combination has made ownership, electricity pricing and capital investment increasingly important regulatory questions.
The transaction is currently expected to close in late 2026 or early 2027, subject to remaining approvals.
Investors should now watch the FERC review and whether the lawmakers’ objections produce additional conditions, delays or other changes to the proposed transaction.
