Commercial, Energy Procurement, Industrial, Power Prices, Utilities - October 11, 2016
Calpine strikes $800M deal for C&I power supplier
Independent power producer Calpine Corp. has entered into an agreement to purchase Noble Americas Energy Solutions LLC, a large independent supplier of power to commercial and industrial retail customers.
Houston-based Calpine plans to buy the San Diego, Calif.-based subsidiary of Noble Group Ltd. for $800 million, plus an estimated $100 million of net working capital at closing. Noble Americas Energy Solutions serves commercial and industrial customers in 18 states, including California, Texas and the mid-Atlantic and Northeast, where Calpine's wholesale power generation fleet is primarily concentrated.
The deal is expected to more than double the volume of retail load Calpine can serve with its wholesale power generation fleet; Calpine also plans to expand its retail customer sales channels and product offerings through the acquisition.
In an Oct. 9 statement, Calpine President and CEO That Hill called Noble Americas Energy Solutions "the best commercial and industrial direct sales platform in the U.S." The CEO added:
The acquisition of this well-regarded organization known for providing sophisticated customers with highly customized products is a natural fit with Calpine's customer-centric culture and will allow us to build upon the success we have experienced since our entry into retail last year through the Champion Energy platform.
Calpine in 2015 purchased Houston-based Champion Energy Marketing LLC for $240 million. When the deal was announced, the energy retailer was expecting to provide 22 TWh of residential, commercial and industrial customer load, concentrated in Texas and the Northeast.
Share this valuable information with your colleagues using the buttons below:« Back to News
- AptarGroup Raises Use of RE
- Lumentum Decreases Emissions by 25%, Doubles RE Use
- Volvo Seeks to Lower Each Car's Emissions by 75%
- CalPERS Establishes $100 Billion Net Zero Pledge
- BACARDÍ Rum Aims to Lower Emissions by 50% in Puerto Rico
- Weekend Reads: 10 Myths About the Energy Transition; Tackling Health Care's Carbon Footprint