Tenaska Power Fund Completes Acquisition of Six Power Plants From Constellation Energy - 12/15/06
OMAHA, Nebraska – Tenaska Power Fund, L.P. (TPF) has completed the $1.64 billion acquisition of six power plants from Constellation Energy (NYSE: CEG).
Financial close was completed on December 15, 2006, according to Paul Smith, senior managing director of Tenaska Capital Management, LLC (Tenaska Capital), the manager of TPF.
TPF’s purchase of the six power plants with a combined generating capacity of 3,145 megawatts (MW) initially was announced in October.
Smith said the plants are an excellent addition to TPF’s portfolio which includes power plants, gas storage facilities and national infrastructure construction and maintenance companies.
“The Constellation Energy plants are modern, efficient and strategically located to serve our customers reliably and economically in key markets across the country,” he said.
The six plants, now collectively known as TPF Genco, are:
- High Desert in Victorville, California – 830 MW
- Rio Nogales in Seguin, Texas – 800 MW
- Holland in Shelby County, Illinois – 665 MW
- Big Sandy in Kenova, West Virginia – 300 MW
- University Park in Chicago, Illinois – 300 MW
- Wolf Hills in Bristol, Virginia – 250 MW
Credit Suisse and Goldman Sachs served as joint lead arrangers for the $1.645 billion financing supporting the purchase. Financing included an $850-million first lien; $495-million second lien; and $300-million of letter of credit and revolver facilities.
About Tenaska Power Fund, L.P.; Tenaska Capital Management, LLC
Tenaska Power Fund, L.P. (TPF) is a private equity limited partnership formed by its managing directors and the owners of Tenaska, Inc. (Tenaska) to utilize their proven financial, marketing, technical and operating expertise to invest in a diverse group of energy and power companies and assets in the United States. TPF is held outside of Tenaska’s holding company structure.
Tenaska Capital Management, LLC, the manager of TPF, is an affiliate of Tenaska which is one of the largest independent power producers in the United States . Tenaska affiliates also market natural gas and electric power, with Tenaska’s natural gas marketing affiliate regarded as one of the top ten natural gas marketers in North America. 