Macquarie Infrastructure Corporation completes sale of Bayonne Energy Center to NHIP II

Macquarie Infrastructure Corporation has completed the sale and secured all the necessary requirements to divest its 644 MW Bayonne Energy Center power generation facility located in New Jersey, USA to North Haven Infrastructure Partners II (NHIP II) for a total consideration of US$649 million investment.

At the time of signing the deal, Macquarie stated that the BEC divestiture would significantly help deleverage its balance sheet. In fact, the company intends to replay roughly US$150-million debt with the cash proceeds from this sale. Notably, Macquarie estimates that its net-debt to Earnings before interest, tax, depreciation and amortization (EBITDA) ratio will likely be less than 4.5x by 2018-end, on the back of this divestiture. In addition to this, the company also intends to fund future growth investments and provide higher returns to shareholders with these proceeds.

The agreement was initially at USD900 million prior to adjustments.