Electrical transmission towers are seen in Sylmar, Calif., on March 24, 2026. The United States is building only a fraction of the high-voltage capacity needed to meet rising electricity demand from artificial intelligence, data centers, and growing population centres. Justin Sullivan/Getty Images
Oakville, Ontario-based Algonquin Power & Utilities Corp. plans to establish its headquarters in Chicago as part of a proposed move to redomicile to the United States, while maintaining a significant presence in Oakville, the company said.
The move would allow the company’s corporate structure to better align with its asset footprint, as over 80 percent of its operations are in the United States and less than 5 percent are in Canada, according to an Aug. 7 news release.
The redomicile would also reduce cross-border tax inefficiencies and support a stronger long-term financial profile, in addition to broadening access to capital and creating a potential path for inclusion in certain U.S. equity indices and funds over time, it says.
The move was announced alongside the company’s second-quarter earnings. The company’s revenue for the quarter ended June 30 grew to US$543.9 million (up from US$527.8 million), while headline net earnings fell from US$14.8 million to US$4.9 million year over year.
The decline was primarily driven by a one-time, non-cash accounting write-off of $17.2 million related to a California wildfire cost-recovery proceeding, the release says.
CEO Rod West said the move to redomicile formed part of the company’s “back to basics” strategy.
“We believe this is the right next step toward building a more focused, disciplined and durable company that is well positioned to serve its stakeholders for years to come,” he said.
“To effect the redomicile, AQN would continue to Delaware pursuant to a court-approved plan of arrangement under the Canada Business Corporations Act,” West added, referring to the company’s stock market symbol on the Toronto Stock Exchange (TSX) and New York Stock Exchange (NYSE).
While Algonquin plans to establish its headquarters in Chicago—placing senior executive leadership closer to the company’s U.S. asset base—it will legally incorporate in Delaware. Delaware is the corporate home for over two-thirds of the U.S. Fortune 500 companies due to the state’s well-established business law framework and predictable corporate governance.
The company expects to seek shareholder approval for the move in the first half of 2027. If approved by shareholders and the court, it will continue trading on the TSX and NYSE under the ticker symbol “AQN,” the release says.
Algonquin traces its origins to 1988, when four business partners established the company to develop hydroelectric projects in Canada. The Algonquin Power Income Fund was established in 1997 and began trading on the TSX on Dec. 23 of that year. Its initial portfolio included hydroelectric facilities in Ontario, Quebec, New York, and New Hampshire, marking its early expansion into the U.S. market.
The company expanded further into the U.S. utility business in 2001, when it acquired regulated water and wastewater facilities in Arizona, followed by operations in Texas, Missouri, and Illinois.
It later expanded into electric and natural gas utilities across the United States, including through its 2017 acquisition of Empire District Electric, which significantly increased its U.S. utility footprint.
