Tenaska Capital Management (TCM) has completed its acquisition of Connecticut-based US Power Generating Company (USPG), which owns three power generating facilities in New York City.
TCM had said in September, when the merger was announced, that following the transaction, USPG would be a wholly-owned, indirect subsidiary of TCM. The final price was to be determined “by a number of business and tax adjustments,” according to the release issued on September 10th. However, the price has not been disclosed.
“We are enthusiastic to have USPG affiliated with the Tenaska organization,” TCM chief executive and senior managing director Dan Lonergan said. “The USPG organization brings a depth of expertise which complements Tenaska’s own record in the industry,” he added.
The acquisition of USPG also provides Tenaska Capital entry into the New York market, since the power generator operates facilities in Queens and Brooklyn, which sell energy and capacity into the New York Independent System Operator deregulated market. Its three facilities have a total summer capacity of over 2,180 megawatts (MW) and generate enough to serve approximately 20 percent of the overall load in New York City, according to the September statement.
An affiliate of Tenaska, TCM has approximately $3.5 billion in assets under management and focuses on investments in oil and gas midstream, energy services, and power generation.
Founded in 1987, Tenaska is involved in asset acquisition and management; fuel supply; natural gas exploration, production, and transportation systems; and electric transmission development.
Other Tenaska affiliates include Tenaska Marketing Ventures, Tenaska BioFuels, Tenaska Power Services, and recently launched Tenaska NG Fuels.
Photo courtesy of USPG.