Vanguard Group boosts Talen Energy stake to 10.4% as AI demand grows
FILE PHOTO: The logo for Vanguard is displayed on a screen on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., June 1, 2022. REUTERS/Brendan McDermid/File Photo
U.S. asset management firm Vanguard Group increased its stake in independent power producer Talen Energy Corp to 10.4 per cent, according to a filing on Wednesday.
As Big Tech pours in billions of dollars into AI technology, the demand for electricity to feed power-hungry data centers has also grown. The main beneficiaries of this demand are utilities such as Talen Energy.
Vanguard, Talen Energy's second-largest shareholder, revealed it purchased over 4 million shares of the utility's common stock. As of October, the asset manager owned about 9.9 per cent of its outstanding shares.
Shares of Talen Energy rose over threefold in 2024. They were marginally higher in extended trading on Wednesday.
