The clean energy infrastructure (CEI) business of private asset management firm Capital Dynamics has signed an agreement with energy company Tenaska to develop a portfolio of greenfield solar projects in the Midwest.
The deal, which closed on Nov. 26, includes 14 solar projects totaling approximately 2 GW in Midcontinent Independent System Operator (MISO) states: e.g., Michigan, Missouri, Illinois, Wisconsin, Indiana and Minnesota.
“This agreement was a unique opportunity for us to acquire a meaningful pipeline of solar capacity in an efficient project development structure within a market poised for growth,” says Benoit Allehaut, director of Capital Dynamics’ CEI team. “Tenaska has historically been one of the most successful developers of electric generation and a close partner of Capital Dynamics on several existing projects. We are excited to be expanding our partnership and offer clean energy power through long-term supply contracts to customers in the Midwest.”
The agreement with Tenaska further diversifies Capital Dynamics’ growing solar portfolio. The company says its CEI team is the second-largest owner of solar projects in the U.S.; it manages approximately $4.9 billion in assets and 3.1 MW of capacity in its current portfolio (as of Nov. 1).
“Tenaska has a proven record of success in solar development, and we are excited to pair our development skills with Capital Dynamics’ capital origination and structuring capability,” adds Steve Johnson, senior vice president in Tenaska’s strategic development and acquisition group. “This transaction further strengthens the existing relationship between our two companies.”
Tenaska has developed more than 10 GW of natural gas and renewable power projects, including two utility-scale solar projects in Southern California, in which Capital Dynamics is an investor. The company also has a majority investment in distributed solar company Soltage LLC.
Capital Dynamics was advised by Amis, Patel & Brewer, LLP as legal counsel for the transaction.