The Federal Energy Regulatory Commission on May 12 approved the sale of a biomass-fired power plant in Connecticut to funds controlled by Denham Capital Management LP.
On March 27, Plainfield Renewable Energy LLC asked for commission authorization for Greenleaf Power Consolidated LLC to acquire from Leidos Engineering LLC 100% of the direct membership interests in Leidos Renewable Energy LLC, which in turn indirectly wholly owns Plainfield.
Plainfield, authorized to sell power at market-based rates, owns and operates a 37.5-MW biomass-fired facility located in Plainfield, Connecticut. The facility is in the ISO New England balancing authority area (ISO-NE BAA) and the Connecticut Import Interface (CT) submarket. Plainfield sells 80% of the facility’s output under a long-term power purchase agreement and 20% on the wholesale spot market.
Plainfield is directly wholly-owned by Plainfield Renewable Energy Holdings LLC, which in turn is directly wholly-owned by Leidos Renewable. Leidos Renewable, in turn, is directly wholly-owned by Leidos Engineering. Farthest upstream of Leidos Engineering is Leidos Holdings Inc.
Greenleaf is owned indirectly approximately 64% by Denham Commodity Partners Fund V LP (Denham Fund V), 32% by Denham Commodity Partners Fund IV LP (Denham Fund IV), and the rest by RED Investment LLC. Denham Fund IV and Denham Fund V, each a private investment fund, are limited partnerships in which their limited partners do not exercise control over them. Denham Commodity Partners GP IV LP (Denham GP IV) and Denham Commodity Partners GP V LP (Denham GP V) are general partners of Denham Fund IV and Denham Fund V, respectively, and as such, according to Plainfield, exercise all management, operation, and policy authority with regard to the funds. These companies are associated with investment advisor Denham Capital Management LP.
Under the now-approved transaction, Greenleaf will acquire from Leidos Engineering all of the membership interests in Leidos Renewable, and as a consequence, Plainfield. Thus, Plainfield will become an indirect wholly-owned subsidiary of Greenleaf.