Sempra sells $10 billion stake in infrastructure unit, greenlights Port Arthur expansion

Sept 23 (Reuters) - U.S. utility Sempra SRE.N said on Tuesday it would sell a stake in its infrastructure unit for $10 billion in cash, as well as greenlit a $14 billion expansion of its Port Arthur LNG project in Texas.

The company will sell a 45% equity interest in Sempra Infrastructure Partners, which has liquefied natural gas assets and related pipeline and storage infrastructure, to KKR KKR.N and Canada Pension Plan Investment Board.

Private equity firms are racing to bulk up on power infrastructure assets as electricity consumption surges to record levels, driven primarily by data centers dedicated to AI operations and rising domestic use.

After the deal closes, a KKR-led consortium will become the majority owner of the unit with a 65% stake, while Sempra will retain a 25% interest alongside Abu Dhabi Investment Authority's existing 10% stake.

The deal, implying an equity value of $22.2 billion for Sempra's unit, is expected to close between the second and third quarters of 2026.

Sempra expects the deal to add about 20 cents to annual earnings per share from 2027.

Shares of the company rose 3.2% to $85 in premarket trading.