Simpson Thacher is representing American Electric Power (NYSE: AEP) in the announced sale of four competitive power plants totaling approximately 5,200 megawatts (MW) for approximately $2.17 billion to a newly formed joint venture of funds affiliated with Blackstone (NYSE: BX) and ArcLight Capital Partners LLC. All of this generating capacity is located in the region served by the PJM Interconnection. The sale is expected to close in the first quarter of 2017, subject to customary closing conditions and regulatory approvals.
American Electric Power is one of the largest electric utilities in the United States and owns the nation’s largest electricity transmission system. AEP ranks among the nation’s largest generators of electricity, owning approximately 31,000 megawatts of generating capacity in the U.S.
The Simpson Thacher team included Mario Ponce, Brian Chisling, Ben Schaye, Matt Gabbard, Johanna Mayer, Jeff Levine and Sam Egendorf (M&A); Andrew Blau and Alina Grinman (ECEB); Andrew Purcell and Taylor Alexander (Tax); Michael Isby (Environmental); Marcela Robledo (IP); James Cross and Timothy Coxon (Credit); and Krista McManus (Real Estate). Summer Associates Julie Siegel, Juan Gonzalez and Forrest Osgood also provided invaluable assistance.