?Global energy provider MidAmerican Energy Holdings Co., Des Moines, Iowa, owned by Warren Buffett’s Berkshire Hathaway, plans to acquire integrated utility company Constellation Energy, Baltimore, (NYSE: CEG) for approximately $4.7 billion in stock.

MidAmerican will pay $26.50 per Constellation share. Constellation will issue to MidAmerican $1 billion of preferred equity yielding 8%.

Constellation announced in August that it intended to sell its upstream gas assets and potentially its 38% ownership position in the MLP Constellation Energy Partners LLC (NYSE: CEP) to help alleviate liquidity problems.

As of year-end 2007 and including assets from the MLP, Constellation held some 655 billion cu. ft. equivalent in proved reserves producing more than 67 million cu. ft. equivalent per day. These assets are in Louisiana, South Texas, Wyoming, the Fayetteville shale in Arkansas, Ohio, West Virginia, Montana’s Williston Basin and offshore Alabama. These assets alone could be worth up to $2 billion on the market.

Constellation president and chief executive Mayo A. Shattuck III says, “We strongly believe this transaction is in the best long-term interest of our investors, employees and the customers and communities we serve. The financial services sector and energy commodity markets have witnessed unprecedented volatility. Backed by the significant industry expertise and financial stability of MidAmerican and Berkshire Hathaway, Constellation Energy will build on its reputation as a first-choice energy solution provider for our many customers.”

Berkshire Hathaway chairman Buffett says, “MidAmerican has been a wonderful steward of its energy assets and the acquisition of Constellation Energy, when completed, will prove beneficial to all constituents.”

Morgan Stanley and UBS Investment Bank are advisors to Constellation. The transaction is expected to close within nine months.