Carlyle Group acquires 1243 MW of gas fired generation

• 11 years ago (2013-09-09)
• Junior Isles

North America 1021

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US asset management firm, the Carlyle Group, has agreed to acquire the Red Oak power generation facility in Sayreville, New Jersey from Energy Capital Partners, and has also completed the purchase of five other power plants in California.

The acquisitions have been executed in conjunction with Carlyle’s power affiliate Cogentrix, which it acquired in late 2012, and brings the total enterprise value of power asset transactions by Cogentrix to more than $1.2 billion since that acquisition.

The Red Oak plant is a natural gas-fired combined-cycle power plant located in Sayreville with a generating capacity of 823 MW. It currently operates under a long-term power purchase agreement and is part of the PJM Interconnection power market.

The five smaller California power plants have a combined generating capacity of 320 MW, and include the 122 MW Midway natural gas-fired plant in Firebaugh, California, and CalPeak’s portfolio of four natural gas-fired plants in Escondido, Firebaugh, San Diego and Vacaville, California with a combined output of 198 MW.

Carlyle is acquiring the Midway plant from an affiliate of Starwood Energy Group Global LLC and the CalPeak portfolio from the Blackstone Group L.P.’s GSO Capital Partners as well as affiliates of Starwood and Tyr Energy.

The terms of release for the equity capital funding the transactions, which comes from Carlyle Power Opportunities Capital Partners L.P. and Carlyle Infrastructure Partners L.P., have not been disclosed.