US utility American Electric Power has completed the sale of four power plants to Ligthstone Generation, a joint venture of Blackstone and an affiliate of ArcLight Capital Partners for $2.1 billion.
AEP had announced earlier in September that it had reached an agreement to sell the plants.
The sale includes 5,200 MW of generation all located in the region served by the PJM Interconnection, the company said.
In detail, the deal includes the 1,186 MW gas-fired Lawrenceburg Generating Station in Lawrenceburg, Indiana; the 840 MW gas-fired Waterford Energy Center, in Waterford, Ohio; the 507 MW gas-fired Darby Generating Station in Mount Sterling, Ohio and the 2,665 MW coal-fired Gen. James M. Gavin Plant in Cheshire, Ohio.
AEP will net approximately $1.2 billion in cash after taxes, repayment of debt associated with these assets and transaction fees, it said, adding it is “investing the proceeds from the sale in its regulated businesses, including transmission and contracted renewable projects.”
AEP is one of the largest electric utilities in the United States, delivering electricity to some 5.4 million customers in 11 states.
It ranks among the nation’s largest generators of electricity, owning approximately 31,000 MW of generating capacity in the US.