ArcLight Capital Partners plans to buy about 2.2 GW of mainly gas-fired power plants from InfraBridge, with about half the capacity in the PJM Interconnection, according to a March 24 filing with the Federal Energy Regulatory Commission.
Under the planned deal, private equity firm ArcLight will buy InfraBridge’s 50% stake in Invenergy AMPCI Thermal Power, a portfolio of generating assets operated and co-owned by Invernegy.
The planned transaction is the latest in a spate of deals involving gas-fired generation. Earlier this month, LS Power agreed to buy five power plants in the PJM Interconnection totaling 4.4 GW from Constellation Energy for about $5 billion.
In other recent deals in the PJM market, Talen Energy in January said it planned to buy three gas-fired power plants from Energy Capital Partners totaling 2.6 MW for $3.45 billion. That same month, Vistra said it planned to buy Cogentrix Energy and its 5.5-GW gas-fired fleet — including 3.2 GW in PJM — for about $4 billion.
Terms of the ArcLight-InfraBridge deal were not disclosed.
That deal includes seven U.S. power plants, according to the FERC application. It also includes at least one Canadian power plant, the 584-MW, gas-fired St. Clair energy center in St. Clair Township, Ontario, the companies said in a press release.
If approved, the deal would increase ArcLight’s 9.7 GW of capacity in PJM by about 1.1 GW, not enough to exert market power, according to the FERC application.
"IATP is a unique, diversified, large scale portfolio of contracted power infrastructure assets which provides significant, low cost power across seven markets,” Andrew Brannan, ArcLight managing director, said in the release.
ArcLight and InfraBridge asked FERC to approve the transaction by June 22.
