Justice Department’s Statement on Its Investigation of Vistra’s Acquisition of Cogentrix

Department of Justice national press office2026-10-30

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Analyzed 2026-10-31 04:25 UTC.

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“On Jan. 5, Vistra announced an agreement to acquire Cogentrix from Quantum Capital Group.”

“Both firms are electricity generation companies that compete in wholesale electricity and electric capacity auctions run by Regional Transmission Organizations (RTOs) or Independent System Operators (ISOs).”

“RTOs and ISOs are nonprofit organizations responsible for managing and operating electric power grids within specific regions of the United States.”

“Vistra’s acquisition of Cogentrix combines overlapping electricity generation asset portfolios in three different RTO/ISOs: PJM Interconnection LLC (which covers portions of the Midwest and Mid-Atlantic); ISO New England Inc. (ISO-NE); and the Electric Reliability Council of Texas.”

“PJM Interconnection LLC (which covers portions of the Midwest and Mid-Atlantic)”

“the Internal Market Monitor of ISO-NE submitted comments to FERC stating that Vistra’s acquisition of Cogentrix raised concerns about a potential reduction in competition that may enable the exercise of market power in ISO-NE.”

“FERC acknowledged that it “consider ” Vistra’s unilateral decision and approved the transaction without conditions.”

“Vistra unilaterally decided to sell its Casco Bay Energy facility (Casco Bay) in ISO-NE.”

“As required by federal law, Vistra and Cogentrix filed an application with the Federal Energy Regulatory Commission (FERC) for approval of the transaction.”

“The Division’s legal and economic analysis followed the framework for evaluating electricity mergers described in the Division’s 2025 settlement complaint and competitive impact statement regarding Constellation Energy Corp.’s acquisition of Calpine Corp.”

“The Division conducted a thorough investigation, reviewing thousands of documents, performing sophisticated economic modeling, and conducting extensive interviews with industry participants.”

“Vistra and Cogentrix then unilaterally decided to sell Cogentrix’s gas-fired combined-cycle power plant in Rumford, Maine, which would reduce the combined firm’s ability and incentive to withhold electricity and raise prices in ISO-NE.”

“In the interim period, Vistra and Cogentrix must continue to abide by all applicable FERC regulations.”

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