A new energy giant in Canada started taking shape last summer amid escalating trade tensions with the United States. Emera Inc. based in Halifax and Canadian Utilities based in Calgary announced their merger plans, forming a new company valued at $72 billion. The merger aims to create one of the largest utilities in North America, capable of capitalizing on the increasing demand for power.

Atco Ltd., the controlling shareholder of Canadian Utilities, is pivoting towards a more agile approach, focusing on defense, housing, and infrastructure development in remote areas. The CEOs of both companies, Nancy Southern from Atco and Scott Balfour from Emera, initiated discussions about forming a Canadian energy powerhouse to meet the growing needs for clean power, AI data centers, and electrification.

The combined entity, operating under the Emera brand, will maintain its headquarters in Halifax and operational offices in Calgary and Edmonton. The new company, post-merger, is projected to serve six million customers across Canada, the United States, Mexico, the Caribbean, and Australia.

Emera and Canadian Utilities plan to invest $32 billion in capital projects by 2030, with a focus on regions with high growth potential like Florida and Alberta. Southern will lead the refocused Atco while co-chairing Emera’s board, emphasizing a strategic shift to leverage opportunities in defense, energy security, and housing.

The deal entails Emera acquiring all outstanding shares of Canadian Utilities for about $14.3 billion. Shareholders of the three companies will vote on the transaction early next year, subject to court approvals and regulatory clearances in multiple jurisdictions. The merger is seen as a strategic move to create a robust Canadian utility company poised for future growth and infrastructure development.