Partners Group Announced Acquisition of Portfolio of Energy Assets in California

SEATTLE (Oil Monster): Leading Swiss private equity firm Partners Group revealed that it has paid $2.2 billion to acquire a portfolio of energy assets in California that belonged to Avenue Capital Group. In addition to a portfolio of 11 natural gas power facilities in California with a total capacity of 1.9 GW, the transaction includes Middle River Power, an energy asset management platform.

The deal is a major turning point in the U.S. energy industry, which has been embracing the newest technologies at a breakneck pace to keep up with the growing demands. In addition, it is anticipated that the transportation sector's increased demand for data centers and the continuous increase in residential electrification will be the primary drivers of the United States' power consumption in 2025 and 2026.

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Additionally, the deal signifies Avenue Capital Group's successful withdrawal from its power industry holdings. In addition to managing its own investments in the industry, the company's Middle River Power portfolio has been offering asset management services to power plants owned by third parties.

Partners Group stated in a news release that battery energy storage systems and natural gas-fired facilities are becoming more and more important for maintaining grid resilience. The company oversees assets valued at about $150 billion worldwide.