Infrastructure investor Alinda Capital Partners has increased the size of its energy portfolio with the acquisition of Houston Fuel Oil Terminal Company (HFOTCO).
Alinda acquired the assets from an ArcLight Capital Partners affiliate dubbed AL Gulf Coast Terminals. The value of the deal was not disclosed and deal participants did not return calls seeking comment.
HFOTCO is in the business of storing, blending and transporting residual fuel oil and crude oil on behalf of refiners and other energy businesses as well as the international trading community. A major player in the Gulf of Mexico, the company has the capacity to store some 13.8 million barrels of oil at its facilities in the Houston Ship Channel in Houston, Texas. HFOTCO ships oil assets with its own pipelines and other transportation assets.
“We look forward to a long and successful partnership with management, who share our long-term focus and emphasis on quality operations and growth,” said Chris Beale, Alinda managing partner, in a statement.
In January, ArcLight completed financing for an expansion to HFOTCO’s oil storage and transportation capabilities. The growth initiative is near completion and HFOTCO expects to increase its oil blending and storage capacity to nearly 20 million barrels of fuel in stages beginning in 2012.
Alinda has been busy on the acquisitions trail, having recently acquired a 5.88 percent stake in British airports operator BAA from Spanish developer Ferrovial, for $438 million.
Prior to that, the Connecticut-based firm bought Cambridge Water, a utility supplying water and other services to Cambridge, UK, from British Bank HSBC. Cambridge Water has audited gross assets of close to £62 million (€72 million; $111 million) as at December 31, 2010.