Washington, DC – Global alternative asset manager The Carlyle Group (NASDAQ: CG) today announced it has completed the acquisition of 75.05% of the outstanding interests of Southeast PowerGen, a portfolio of six natural gas-fired power plants in Georgia, from ArcLight Capital Partners and the GIC, Singapore’s sovereign wealth fund.
The acquisition increases the size of Carlyle’s power generation portfolio to more than 4,300 MW. GE Energy Financial Services (GE EFS) will continue to own the remaining 24.95% equity interest in Southeast PowerGen. Concurrent with the closing of Carlyle’s acquisition, Southeast PowerGen completed a $550 million recapitalization of the company, proceeds from which will be used to repay existing debt, provide a distribution to equity owners and fund certain reserve accounts.
Southeast PowerGen’s contracted assets are located in a region exhibiting some of the strongest electricity demand growth in the country and facing retirements of thousands of megawatts of coal-fired power generation. The portfolio includes four peaking facilities, capable of starting quickly to meet sudden changes in the supply and demand balance, and two combined-cycle facilities capable of delivering low-cost electricity around the clock.
Equity capital for the transaction, terms of which were not disclosed, comes from Carlyle Power Opportunities Capital Partners L.P. and Carlyle Power Partners II L.P.
The Carlyle Group (NASDAQ: CG) is a global alternative asset manager with $203 billion of assets under management across 129 funds and 141 fund of funds vehicles as of September 30, 2014. Carlyle’s purpose is to invest wisely and create value on behalf of its investors, many of whom are public pensions. Carlyle invests across four segments – Corporate Private Equity, Real Assets, Global Market Strategies and Solutions – in Africa, Asia, Australia, Europe, the Middle East, North America and South America. Carlyle has expertise in various industries, including: aerospace, defense & government services, consumer & retail, energy, financial services, healthcare, industrial, real estate, technology & business services, telecommunications & media and transportation. The Carlyle Group employs more than 1,700 people in 40 offices across six continents