Constellation Energy Corporation has received approval from the New York State Public Service Commission (PSC) for its planned acquisition of Calpine Corporation, marking a major milestone in the company's strategy to expand its low-emissions power generation portfolio.

The deal, first announced earlier this year, combines Constellation’s industry-leading zero-emissions nuclear fleet with Calpine’s natural gas and geothermal assets. The integration is expected to create a coast-to-coast platform capable of meeting increasing demand for reliable, sustainable energy, especially in support of growing AI and data center infrastructure.

“This transaction will unite two diverse generation portfolios to create the leading reliable and clean generation fleet,” said Joe Dominguez, president and CEO of Constellation.

The PSC approval follows earlier regulatory clearance in Texas. The acquisition still requires approval from the Federal Energy Regulatory Commission, the Department of Justice, and the satisfaction of other standard closing conditions. The transaction is expected to close in the fourth quarter of 2025.

Constellation, headquartered in Baltimore, is the nation’s largest producer of carbon-free electricity. Calpine, based in Houston, operates one of the largest fleets of natural gas-fired and geothermal power plants in the U.S.