Diamond Castle Partners has acquired KDC Solar from Kamine Development with a $225 million all equity investment. The company will use the capital to build and operate commercial solar projects in New Jersey. Fewer solar power installations can be completed with the smaller non-leveraged capital base, but the firm will also not have to settle for secure long-term contracts with fixed prices for its renewable energy credits in order to assure lending banks of a steady income.
In the last year and a half, 91 PE investors have invested in 158 U.S. companies in the Energy industry, according to the PitchBook Platform. Deal flow appears to be holding relatively steady from 2009 to 2010, as there were 108 completed or announced deals last year, and there have been 60 deals so far this year. Over the same time period, Exploration, Production & Refining has been the most popular energy sector amongst PE investors based on deal counts with 64 deals occurring in the sector, followed by Energy Services with 48 deals. The most active investors in the industry include Riverstone Holdings (8 deals), Metalmark Capital (8), Energy Capital Partners (6), ArcLight Capital Partners (5) and EnCap Investments (5).