Public Service Enterprise Goup completed the previously announced sale of PSEG Fossil’s generating assets located in New Jersey and Maryland to a subsidiary of ArcLight Energy Partners Fund VII, L.P., a fund controlled by ArcLight Capital Partners, LLC. Completion of the sale of the New Jersey and Maryland assets concludes one of the two transactions that together comprise the sale of PSEG Fossil’s 6,750-megawatt portfolio of 13 fossil generation units in New Jersey, Connecticut, Maryland and New York.
“This sale marks a key milestone in the Strategic Alternatives process we initiated in July 2020 and positions us to continue to grow our regulated utility, PSE&G, complemented with more predictable carbon-free generation and infrastructure,” PSEG Chairman, President and CEO Ralph Izzo said. “PSEG is focused on clean energy and infrastructure investments to drive regulated utility growth, with a vision toward powering a future where people use less energy, and it’s cleaner, safer and delivered more reliably than ever. PSEG’s improved business mix, on track to achieve 90% regulated, further enhances an already compelling environmental, social and governance profile.”
PSEG’s Strategic Alternatives process reduces overall business risk and earnings volatility, and highlights our investments and opportunities in regional offshore wind and the preservation of our existing nuclear fleet. PSEG also has decarbonization goals, including our participation in the U.N.-backed Race to Zero campaign.
Furthermore, subject to the satisfaction of required closing conditions, including applicable regulatory approvals, PSEG anticipates completing the sale of PSEG Fossil’s New York and Connecticut generating assets within the first quarter of 2022.
Details and additional information may be available as part of PSEG’s regularly scheduled quarterly financial presentations; sign up for alerts HERE. PSEG provided a detailed strategy and financial update in its Investor Day, held on Sept. 27, 2021. Materials from the event can be found on our investor website or by clicking here, including the presentation and video replays. For details on PSEG’s approach to climate and sustainability, view its most recent report HERE.
Goldman Sachs & Co. is serving as financial adviser, and Wachtell, Lipton, Rosen & Katz is serving as legal counsel to PSEG in connection with the PSEG Fossil transaction.
About PSEG
Public Service Enterprise Group Inc. (PSEG) (NYSE: PEG) is a publicly traded diversified energy company with approximately 13,000 employees. Headquartered in Newark, N.J., PSEG’s principal operating subsidiaries are: Public Service Electric and Gas Co. (PSE&G), PSEG Power and PSEG Long Island. PSEG is a Fortune 500 company included in the S&P 500 Index and has been named to the Dow Jones Sustainability Index for North America for 14 consecutive years (https://corporate.pseg.com).
