GIP and FORTISTAR Sell U.S. Power Plant
- Blackstone Energy Partners (BEP)
Related M&A Transactions
On January 10, 2014, Global Infrastructure Partners (GIP) and FORTISTAR, a power sector investor, announced that they have completed the sale of the Channelview cogeneration facility to Energy Investors.
Energy Investors made the acquisition through its fund, EIF United States Power Fund IV LP. The private equity firm focuses on independent power and electric utilities. The firm has raised more than US$5 billion in equity capital.
The companies did not disclose terms of the deal.
On July 9, 2014, Global Infrastructure Partners (GIP) and FORTISTAR had completed the purchase of the plant from affiliates of Reliant Energy. The purchase price was US$500 million plus certain adjustments.
The Channelview power plant is a nominal 830-megawatt, natural gas-fired cogeneration facility located in Channelview, Texas, approximately 20 miles east of downtown Houston. The plant has been fully operational since 2002 and sells steam and a portion of its electric output under various long-term contracts with industrial customers. Channelview is one of the cleanest and most efficient steam and electric power producers in Texas.
Several power plants have changed hands in the past few months. In December. Calpine Corp. bought a Texas power plant for US$625 million from MinnTex Power Holdings LLC, SNC-Lavalin sold a minority stake in Astoria Project Partners II LLC to GPP New York LLC and Blackstone Energy Partners acquired three Texas gas-fired power stations.
In September, Carlyle Group LP bought six power plants in New Jersey and Washington, D.C.