Consortium Led by Energy Capital Partners Completes Acquisition of Calpine Corporation; Announces Management Roles & Board of...
March 08 2018 - 2:05PM
Business Wire
Calpine Corporation (NYSE: CPN) today announced the completion
of the acquisition of Calpine by an affiliate of Energy Capital
Partners and a consortium of other investors, including Access
Industries Inc. and Canada Pension Plan Investment Board
(CPPIB).
As a result of the completion of the acquisition, Calpine
stockholders will receive an amount in cash equal to $15.25 per
share of Calpine common stock. In connection with the completion of
the acquisition, shares of Calpine common stock will cease trading
on the New York Stock Exchange (NYSE) prior to the opening of the
NYSE on March 9, 2018.
Lazard served as financial advisor and White & Case LLP
served as legal advisor to Calpine. Barclays Capital Inc. served as
financial advisor and Latham & Watkins LLP served as legal
advisor to Energy Capital Partners.
“Energy Capital Partners is excited to begin this long-term
partnership with Calpine and its extremely talented employees and
leadership,” said Tyler Reeder, a partner at Energy Capital
Partners. “We do not expect to make any changes to the way Calpine
operates its business and intend to remain focused on providing the
high level of service to which Calpine’s wholesale and retail
customers have become accustomed. Finally, we do not intend to make
any changes to the Company’s financial policy or previously
announced deleveraging plan.”
“The Calpine team is very much looking forward to continuing to
work with our customers,” said Thad Hill, President and Chief
Executive Officer of Calpine. “We also want our customers, trading
partners, regulators and others with whom we interact to know that
Calpine will continue to be a leader in the industry as a power
producer and retail energy provider as well as a strong advocate
for competitive markets.”
Mr. Hill noted that the senior leadership team at Calpine will
remain intact with Thad Miller becoming Executive Vice Chairman and
continuing as Chief Legal Officer; Executive Vice Presidents Zamir
Rauf and Charlie Gates continuing in their currents roles as Chief
Financial Officer and Head of Power Operations, respectively;
Andrew Novotny and Caleb Stephenson being promoted to Executive
Vice Presidents to serve as co-heads of Commercial Operations,
leading the company’s wholesale trading and origination businesses;
Bryan Kimzey being promoted to Senior Vice President of Finance and
Treasurer; and Jim Wood will continue to serve as President of
Calpine Energy Solutions and also has been named President of
Calpine Retail Holdings, LLC, with overall responsibility for the
business activities for Calpine’s retail subsidiaries – Calpine
Energy Solutions, Champion Energy Services and North American
Power.
In connection with the completion of the acquisition, Thad Hill,
Tyler Reeder, Douglas Kimmelman, Andrew Singer, Andrew Gilbert and
Donald Wagner became the voting directors of Calpine and Thad
Miller was elected a non-voting director of Calpine. Tyler Reeder,
Douglas Kimmelman, Andrew Singer and Andrew Gilbert were each
appointed by Energy Capital Partners and Donald Wagner was
appointed by Access Industries, Inc. Subject to receipt of certain
regulatory approvals, CPPIB intends to appoint a voting director to
Calpine’s Board of Directors.
About Calpine
Calpine Corporation is America’s largest generator of
electricity from natural gas and geothermal resources with
operations in competitive power markets. Our fleet of 80 power
plants in operation or under construction represents approximately
26,000 megawatts of generation capacity. Through wholesale power
operations and our retail businesses Calpine
Energy Solutions and Champion
Energy, we serve customers in 25 states, Canada and Mexico.
Our clean, efficient, modern and flexible fleet uses advanced
technologies to generate power in a low-carbon and environmentally
responsible manner. We are uniquely positioned to benefit from the
secular trends affecting our industry, including the abundant and
affordable supply of clean natural gas, environmental regulation,
aging power generation infrastructure and the increasing need for
dispatchable power plants to successfully integrate intermittent
renewables into the grid. Please visit www.calpine.com to learn more about how Calpine is
creating power for a sustainable future.
About Energy Capital Partners
Energy Capital Partners is a private equity and credit
investment firm with over $13 billion in capital commitments. The
firm focuses on investing in the traditional and renewable power
generation, midstream oil and gas, electric transmission,
environmental infrastructure and related energy services sectors of
North America’s energy infrastructure. For more information, visit
www.ecpartners.com.
About Access Industries
Access Industries is a privately held, U.S.-based industrial
group with global strategic investments. Founded in 1986 by Len
Blavatnik, an American entrepreneur and philanthropist, the group
is headquartered in New York, with offices in London and Moscow.
Access invests in industries where it can maximize long-term value
by developing regional and global leaders. Its industrial focus
spans four key sectors: natural resources and chemicals; media and
telecommunications; real estate and hospitality; and venture
capital. For more information, visit www.accessindustries.com.
About Canada Pension Plan Investment Board
Canada Pension Plan Investment Board (CPPIB) is a professional
investment management organization that invests the funds not
needed by the Canada Pension Plan (CPP) to pay current benefits on
behalf of 20 million contributors and beneficiaries. In order to
build a diversified portfolio of CPP assets, CPPIB invests in
public equities, private equities, real estate, infrastructure and
fixed income instruments. Headquartered in Toronto, with offices in
Hong Kong, London, Luxembourg, Mumbai, New York City, São Paulo and
Sydney, CPPIB is governed and managed independently of the Canada
Pension Plan and at arm's length from governments. At December 31,
2017, the CPP Fund totaled C$337.1 billion. For more information
about CPPIB, please visit www.cppib.com or follow us on LinkedIn or
Twitter.
View source
version on businesswire.com: http://www.businesswire.com/news/home/20180308006089/en/
Calpine CorporationMedia
Relations:Brett Kerr713-830-8809brett.kerr@calpine.comorSard
Verbinnen & Co.Frances Jeter (Houston) / Jared Levy
& PatrickScanlan (New York)832-687-5120 /
212-687-8080Calpine-SVC@sardverb.comorInvestor Relations:Bryan
Kimzey713-830-8775bryan.kimzey@calpine.com
Calpine (NYSE:CPN)
Historical Stock Chart
From Jul 2024 to Jul 2024
Calpine (NYSE:CPN)
Historical Stock Chart
From Jul 2023 to Jul 2024