CPV Towantic LLC, Towantic Energy Holdings LLC (GE Towantic Holdings), Aircraft Services Corp. (ASC) and Ullico Infrastructure Master Fund LP (UIF) applied Aug. 17 for Federal Energy Regulatory Commission authorization for a transaction that will result in a change in CPV Towantic’s upstream ownership.
A to-be-formed UIF entity will acquire a 27.96% membership interest in GE Towantic Holdings from ASC, an indirect, wholly-owned subsidiary of General Electric (NYSE: GE). ASC currently holds 100% of the membership interest in GE Towantic Holdings, which owns a 49% membership interest in CPV Towantic. Following the completion of the transaction, UIF will own 27.96% and ASC will own 72.04% of the ownership interests in GE Towantic Holdings. Post-transaction, these interests will represent an indirect interest in CPV Towantic of 13.7% by UIF and 35.3% by GE Towantic Holdings.
The applicants requested expedited action on this application because GE Towantic Holdings needs to consummate the transaction as soon as possible, by no later than Sept. 30. So they asked for a shortened comment period of 21 days and a commission order authorizing the transaction on or before Sept. 20.
CPV Towantic is constructing and will own and operate a 750.5 MW (summer rating) natural gas-fueled, combined-cycle facility and associated interconnection facilities to be located in Oxford, Connecticut. The Towantic Facility will be interconnected to the transmission system owned by Connecticut Light & Power and operated by ISO New England.
UIF will form a special purpose entity for the purpose of engaging in this transaction. It will not own or control any energy assets prior to the consummation of the proposed transaction. Once formed, it will be wholly owned by UIF and managed by Ullico Investment Advisors Inc. (UIA) pursuant to an agreement with UIF GP LLC (UIF GP). UIF GP is the general partner of UIF and is wholly owned by UIA. UIA is a direct, wholly-owned subsidiary of Ullico Inc., a labor-owned insurance and financial services company.
Neither this buyer nor its affiliates own or control any generation capacity in CT or SWCT.
- UIF does own a 10.6% equity interest in Carroll County Energy Holdings LLC (CCE), which is constructing an approximately 700 MW combined-cycle facility in Carroll County, Ohio, that will be interconnected with the PJM-controlled transmission grid. When complete in 2017, the CCE facility will sell energy and capacity on a merchant basis into the PJM markets.
- UIF owns a 23.2% membership interest in DESRI IV LLC, which holds a 100% interest in a 69-MW wind facility, the Kawailoa Wind farm, on the north shore of Oahu Island, Hawaii. The Kawailoa Wind generating facility is a qualifying small power production facility under the Public Utility Regulatory Policies Act of 1978. The facility commenced commercial operations in November 2012 and sells energy under a 20-year power purchase agreement to the Hawaiian Electric Co. Inc.
- A subsidiary of UIF, Ullico Infrastructure West Deptford Holdco LLC, has obtained commission authorization to acquire up to 50% of the Class A membership interests in Pirlo Energy Holdings LLC, which owns 100% of the indirect upstream ownership interests in West Deptford Energy LLC. West Deptford is an EWG that leases and operates an approximately 669 MW (summer rating) natural gas-fired, combined-cycle facility in West Deptford Township, New Jersey. The West Deptford Facility is interconnected with the transmission grid controlled by PJM.