ArcLight Announces $500mm Investment By A Wholly Owned Subsidiary of ADIA In 11 GW AlphaGen Power Infrastructure Platform

BOSTON, Jan. 13, 2025 /PRNewswire/ — ArcLight Capital Partners (“ArcLight”) today announced that a wholly owned subsidiary of the Abu Dhabi Investment Authority (“ADIA”) has agreed to make a $500mm minority investment in AlphaGen, a power infrastructure portfolio owned by affiliates of ArcLight managed funds (the “Investment”).  The Investment remains subject to regulatory approvals and is expected to close in the first half of 2025.  The portfolio is one of the largest independent power portfolios in the U.S., with over 11 GWs of critical power assets located in strategic markets across the country that stand to benefit from accelerating power demand.

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The converging investment mega trends of AI-driven data center development and electrification are creating unprecedented power demand growth, increasing the importance of power infrastructure that can offer resilient, sustainable, and affordable solutions to serve the long-term energy and reliability needs of the market.  AlphaGen is well positioned to help meet these strategic and growing needs.

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Since 2001, ArcLight has owned, controlled or operated over ~65 GW of assets and 47,000 miles of electric and gas transmission infrastructure representing approximately $80bn of enterprise value.  With its deep industry experience and suite of internal technical expertise, ArcLight believes it is uniquely positioned to deliver on the power infrastructure solutions required to support the substantial demand for AI compute and data center deployments.

“ArcLight is excited to expand its existing relationship with ADIA through this partnership, which will help catalyze the future growth and value of the AlphaGen portfolio and take advantage of the significant market opportunity we see associated with the secular and systemic growth in power demand and related infrastructure,” said Angelo Acconcia, Partner at ArcLight.  “These power assets, selectively acquired over time and through numerous discrete transactions, aggregate a strategic portfolio which serves an important market need,” added Andrew Brannan, Managing Director at ArcLight.

Khadem AlRemeithi, Executive Director of the Infrastructure Department at ADIA, said: “This transaction presented an opportunity to expand our existing relationship with ArcLight, which has a long history of successfully investing in power infrastructure and is well positioned through this portfolio to provide the reliable electricity required by AI data centers and local industries.”

Curt Morgan, CEO of AlphaGen, said: “We are excited about the future potential of this portfolio which is well positioned to deliver safe, reliable, and dynamic power solutions to meet increasing demand.”

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About ArcLight:
ArcLight is a leading infrastructure investor which has been investing in critical electrification infrastructure since its founding in 2001.  ArcLight has owned, controlled or operated over ~65 GW of assets and 47,000 miles of electric and gas transmission and storage infrastructure representing approximately $80bn of enterprise value.  ArcLight has a long and proven history of value-added investing across its core investment sectors including power, hydro, solar, wind, battery storage, electric transmission and natural gas transmission and storage infrastructure to support the growing need for power, reliability, security, and sustainability.  ArcLight’s team employs an operationally intensive investment approach that benefits from its dedicated in-house strategic, technical, operational, and commercial specialists, as well as the firm’s ~1,900-person asset management partner. For more information, please visit www.arclight.com.

About ADIA:
Established in 1976, the Abu Dhabi Investment Authority (“ADIA”) is a globally-diversified investment institution that prudently invests funds on behalf of the Government of Abu Dhabi through a strategy focused on long-term value creation. For more information, please visit www.adia.ae.

About AlphaGen:
AlphaGen is a strategic partnership formed and owned by an affiliate of ArcLight to own and operate critical power infrastructure to help provide reliable, secure, safe, and sustainable sources of power and meet the growing infrastructure needs created by electrification.  AlphaGen is led by a deeply experienced senior management team with a proven track record of strategic, operational, and commercial expertise to help create value and manage risk.  For more information, please visit www.alphagen.com.

SOURCE ArcLight Capital Partners