Emera Inc. and Canadian Utilities Ltd. have announced an all-stock merger, creating a powerhouse in the energy sector valued at $72 billion, positioning it as one of the largest utilities in North America. The merger combines Emera, based in Halifax with operations in the U.S. and the Caribbean, and Canadian Utilities, headquartered in Calgary with operations in Canada’s North, Mexico, Australia, and Puerto Rico.
Scott Balfour, CEO of Emera, stated that the combined entity will be well-equipped to address the increasing energy demands driven by electrification trends and infrastructure development, supporting Canada’s growth objectives. Under the agreement, 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 the enhanced capabilities of the merged Emera/Canadian Utilities company to invest in essential energy and infrastructure projects, while the new Atco will focus on growth in housing, defense, and industrial services. The collaboration aims to capitalize on economic expansion, infrastructure growth, and the rising emphasis on security and resilience to deliver long-term value to shareholders and the Canadian populace.
The consolidated utility will operate under the Emera brand, retaining its headquarters in Halifax while maintaining Canadian Utilities’ corporate and operational offices in Calgary and Edmonton. It is anticipated that existing Emera shareholders will hold approximately 60% of the combined entity, with former Atco and Canadian Utilities shareholders owning around 40%.