Kelson Holdings, a Maryland-based holding company, agreed to sell the Redbud power plant for $852 million following a competitive sale process.
Oklahoma Gas and Electric Company (OG&E) will acquire a 51% interest in the Redbud facility while Grand River Dam Authority will have a 36% stake and the Oklahoma Municipal Power Authority accounting for the remaining 13%. OG&E will operate the plant, which has four generating units producing more than 300MW each.
Pete Delaney, OGE Energy’s chairman and CEO, said: Redbud is a new, efficient combined-cycle, gas-fired plant connected to the OG&E transmission system near the Oklahoma City area. Our purchase price is below the cost of constructing a new, gas-fired facility, locking in savings for our customers for years to come.
