Morgan Stanley Infrastructure Partners has entered into an agreement to sell its ownership stake in TigerGenCo Red Oak Holdings to funds managed by Strategic Value Partners.
Located in Sayreville, Red Oak, is part of the PJM Interconnection, which is North America’s largest power market. MSIP acquired the 831-megawatt combined cycle power plant in 2017 and has managed the Facility through its power asset management platform TigerGenCo, which also manages MSIP’s investment in Bayonne Energy Center.
“Red Oak demonstrates MSIP’s ability to create long-term value by bringing operational, commercial and financial expertise to our portfolio,” Markus Hottenrott, chief investment officer for Morgan Stanley Infrastructure Partners said. “Red Oak is a critical resource to the Northeast region and its role has become increasingly vital as the U.S. power market grapples with load growth and challenges adding new supply.”
The transaction is expected to close in the fourth quarter of 2025, subject to customary closing conditions and regulatory approvals. Jefferies LLC served as lead financial advisor to MSIP, and Santander also served as a financial advisor to MSIP.
