In the summer of last year, amid escalating trade tensions with the United States and increased infrastructure development in Canada, Halifax-based Emera Inc. and Calgary-based Canadian Utilities revealed plans to merge into a new entity valued at $72 billion. This merger aims to create one of the largest utilities in North America, allowing the combined company to capitalize on the growing demand for power.
At the same time, Atco Ltd., the controlling shareholder of Canadian Utilities, is shifting its focus towards defense, housing, and infrastructure projects, particularly in remote areas. The CEOs of Emera and Atco, Scott Balfour and Nancy Southern, initiated discussions about forming a Canadian energy powerhouse to meet the rising demand for clean energy and data center services.
The new utility company, operating under the Emera brand, will be headquartered in Halifax, with corporate offices in Calgary and Edmonton. The merged entity will serve over six million customers across Canada, the United States, Mexico, the Caribbean, and Australia. Emera plans to invest $32 billion in capital projects through 2030, with a significant portion of its operations centered in Florida and Alberta.
Following the merger, Southern will lead the refocused Atco and co-chair Emera’s board. The deal, valued at $14.3 billion, will see Emera acquiring all outstanding shares of Canadian Utilities. Shareholders of both companies are expected to vote on the transaction early next year, subject to regulatory approvals.
The merger marks a strategic move to create a Canadian champion in the energy sector, with a strong financial position to support infrastructure growth. It also allows Atco to explore new opportunities in defense, energy security, and housing, aligning with the government’s priorities amidst economic challenges and geopolitical uncertainties.