I Squared Capital to acquire hydropower facilities in North Carolina

Alcoa Power Generating, wholly owned subsidiary of Alcoa, is to sell hydropower facilities in North Carolina to Cube Yadkin Generation LLC and Cube Yadkin Transmission LLC, direct subsidiaries of Cube Hydro Carolinas LLC.

The application was approved in September by the Federal Energy Regulatory Commission, covering the sale and transfer by Alcoa Power of 100% of its ownership interests in the Yadkin Hydroelectric Project and related jurisdictional assets to Genco; and the sale and transfer by Alcoa Power of 100% of its ownership interests in certain transmission facilities and related jurisdictional assets to Transco.

Genco was created for the purpose of acquiring and owning the Yadkin Project and Transco was created for the purpose of acquiring and owning the Yadkin Transmission Facilities.

The indirect buyer, Cube Hydro Carolinas LLC is a wholly-owned subsidiary of Helix Partners LLC. Helix HoldCo LLC directly owns 98.5% of Helix Partners. Helix HoldCo is directly owned by ISQ Hydro Aggregator LLC (62.5%) and ISQ Helix Aggregator LLC (28.1%). Both companies are indirectly controlled by I Squared Capital, a private equity investment manager.

The Yadkin Project consists of four hydroelectric stations with a total capacity of approximately 221 MW, located near Badin, North Carolina (U.S.).