The $5.6 billion sale of energy provider Calpine Corporation to Energy Capital Partners of Houston and a consortium of other investors was completed this week.
Calpine stockholders will receive an amount in cash equal to $15.25 per share of Calpine common stock. At the same time, shares of Calpine, a company with energy operations in northeast Oklahoma, will cease trading on the New York Stock Exchange.
As OK Energy Today reported last summer, the sale includes the Oneta Energy Center near Broken Arrow. Since 2012, the Center has provided electrical power to American Electric Power Service Corporation and to Public Service Company of Oklahoma. Under the contract, the center will supply electricity through 2031. It is one of at least 93 power generation plants that Calpine operated across the U.S.
Among some of the investors in the deal are Access Industries Inc. and Canada Pension Plan Investment Board. Tyler Reeder, one of the partners at Energy Capital Partners said there are no plans to change the company’s financial policy. Calpine will keep its headquarters in Houston with no major change in leadership.
“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 and Executive Vice Presidents Zamir Rauf and Charlie Gates continuing in their currents roles as Chief Financial Officer and Head of Power Operations, respectively.