(Reuters) - U.S. asset management firm Vanguard Group increased its stake in independent power producer Talen Energy Corp ( TLN ) to 10.4%, 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 ( TLN ).

Vanguard, Talen Energy's ( TLN ) 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% of its outstanding shares.

Shares of Talen Energy ( TLN ) rose over threefold in 2024. They were marginally higher in extended trading on Wednesday.