Brookfield Asset Management will invest $6bn to acquire a 19.9% non-controlling equity interest in Duke Energy Florida (DEF), marking one of the largest-ever minority investments in a US-regulated utility. 

The deal is designed to accelerate Duke Energy’s $87bn capital plan, focused on grid modernisation, clean energy, and customer growth.

The investment, made through Brookfield’s Super-Core Infrastructure Partners strategy, will fund $2bn in capital improvements for DEF and support the repayment of $4bn in holding company debt. The transaction values Duke Energy Florida at a premium to Duke Energy’s regulated utility average and further strengthens the utility’s credit position.

Duke Energy will retain an 80.1% stake and full operational control of the Florida utility. The deal is expected to close in stages between 2026 and 2028, subject to regulatory approvals.

“This significant transaction at a compelling valuation best positions Duke Energy to unlock additional capital investments in Duke Energy Florida during this unprecedented growth period,” said Harry Sideris, Duke Energy Florida CEO.

Brookfield’s CEO of infrastructure, Sam Pollock, added, “This transaction underscores our patient strategy of partnering with leading corporates and investing in essential infrastructure assets that underpin economic growth.”

The investment will help fund $16bn in capital deployment in Florida through 2029, expanding generation capacity and improving resilience for the utility’s 2 million customers.

Citi and Morgan Stanley & Co. advised Duke Energy, while Sullivan & Cromwell and Gibson Dunn served as legal counsel. Brookfield was advised by BMO Capital Markets and RBC Capital Markets, with legal support from Latham & Watkins.

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