Emera Inc. and Canadian Utilities Ltd. have announced an all-stock merger, creating a powerhouse in the energy sector valued at $72 billion, making it one of the largest utilities in North America. The merger combines Emera, a utility based in Halifax with operations in the US and the Caribbean, with Canadian Utilities, headquartered in Calgary and active in Canada’s North, Mexico, Australia, and Puerto Rico.
Scott Balfour, Emera’s CEO, stated that the merged entity will be well-positioned to meet the increasing energy demands resulting from electrification trends and infrastructure development, supporting Canada’s growth objectives. In the deal, Emera will acquire Canadian Utilities and Atco Ltd., the majority owner of Canadian Utilities, while Atco’s industrial services division will become a new publicly traded company led by Atco CEO Nancy Southern.
Southern emphasized that the combined Emera/Canadian Utilities company will have the resources to invest in crucial energy and infrastructure projects to support rising demand, while the new Atco will focus on growth in housing, defense, and industrial services. The companies aim to capitalize on economic growth, infrastructure expansion, and the increasing emphasis on security and resilience to deliver long-term value to shareholders and Canadians.
The merged utility, operating under the Emera brand, will be headquartered in Halifax, maintaining Canadian Utilities’ corporate and operational bases in Calgary and Edmonton. Existing Emera shareholders are expected to hold around 60% of the combined company, with former Atco and Canadian Utilities shareholders owning approximately 40%.