Firm: Tenaska Capital Management LLC
Fund: Tenaska Power Fund II LP
Target: $1.5 billion
Placement Agent: Lehman Brothers
After using its first fund to make a little more than a dozen investments in U.S. energy companies and power-related assets,
The Omaha, Neb.-based buyout firm is the private equity arm of Tenaska Inc., one of the largest independent power producers in the United States. With Fund II, the firm plans to take control stakes in a variety of power companies and energy assets throughout the country. The general partner will look to invest in power plants; natural gas storage facilities; electric and gas transmission services; energy and power infrastructure goods; as well as biofuels, wind energy assets and other renewable resources.
The investment strategy of the new fund will mirror that of the firm’s first vehicle. In 2005, the GP closed
The firm used capital from Fund I to buy roughly 10 power plants, two companies that manufacture energy infrastructure products such as power lines and gas mains, and two natural gas storage facilities. In February, the firm exited the Commonwealth Chesapeake Power Station, a Virginia oil-fired plant it bought in 2005, selling it to Tyr Energy. Last year, Tenaska teamed up with buyout firm
Lehman Brothers’s fund placement group is raising Fund II. Rowayton, CT-based placement agent C.P. Eaton Partners LLC raised Tenaska’s first power fund, but lost the mandate for the follow-up vehicle. The