Bloomberg:

Mirant Corp. and Dynegy Inc. are among power producers that may lure private equity firms after Kohlberg Kravis Roberts & Co. agreed to acquire TXU Corp. in the biggest- ever leveraged buyout, Stephan Truffer of EIC Partners AG said.

Mirant and Reliant Energy Inc. have attractive valuations given the assumed TXU takeover price, Deutsche Bank AG analysts including John Kiani in Houston, wrote today in a note. Constellation Energy Group and Entergy Corp. have the “highest re-gearing potential,” or the greatest ability to absorb debt, UBS analyst Vincent Gilles said in an investor note.