Calpine Corporation has completed the acquisition of Granite Ridge Energy Center, a natural gas-fired, combined-cycle power plant located in Londonderry, New Hampshire, approximately 45 miles northwest of Boston.
Calpine purchased the plant, which has a nameplate generating capacity of 745 megawatts, from Granite Ridge Holdings for $500 million, or approximately $671 per kilowatt, subject to working capital adjustments.
A total of $325 million of the purchase price was funded with proceeds from a $550 million first lien term loan secured by Calpine in December 2015, with the remainder funded by cash on hand. The first lien term loan is priced at LIBOR plus 3% per annum (subject to a floor of 1%) and matures in 2023.
The power plant, which commenced commercial operation in 2003, features two Siemens 501G combustion turbines, two heat recovery steam generators and one steam turbine.
Calpine’s President and Chief Executive Officer Thad Hill stated:
"The addition of Granite Ridge strategically enhances our footprint in New England. Now with approximately 2,000 megawatts of modern gas-fired capability in the region, Calpine is well positioned to provide clean, flexible and reliable energy and capacity to the market. I am also pleased to welcome the capable and dedicated employees at Granite Ridge to the Calpine team.”