First State Investments to acquire 40% stake in US renewable energy company Terra-Gen
First State Investments (FSI) has agreed to acquire a stake of 40% in US renewable energy company Terra-Gen from Energy Capital Partners (ECP) for an undisclosed price.
Terra-Gen is engaged in developing, construction, and operation of utility-scale wind, solar, geothermal electrical generation, and energy storage facilities across the US. The renewable energy developer was set up in August 2007 and was acquired by Energy Capital Partners in 2015.
The company’s portfolio comprises over 30 generating facilities, which are mainly located in California, with additional locations across Colorado, Minnesota, Texas, Nevada, New York, and Wyoming.
Jim Pagano – CEO of Terra-Gen said: “California is undergoing a transformation of its power generation resources from a majority of natural gas plants to renewables and battery storage, driven by ambitious energy and environmental policy initiatives.
“As a leading infrastructure investor, FSI is committed to working with us to help realize Terra-Gen’s growth opportunities.”
Currently, Terra-Gen operates more than 1.6GW of facilities and has over 3GW of projects, which are under advanced development.
John Ma – head of First State Investments direct infrastructure team in North America said: “Terra-Gen has a strong, established and diverse platform of renewable energy assets, along with a demonstrated track record of developing and operating projects in California and other attractive markets.
“We are excited to partner with ECP and the management team to help execute Terra-Gen’s business plan.”
The deal, which is subject to regulatory approvals, is likely to be wrapped up in the fourth quarter of 2020 or early next year.