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Bain and Tenaska form $550m partnership to invest in US power generation assets16/04/2003. Source: AltAssets. 
 Boston-based private equity firm Bain Capital has joined forces with Tenaska, an independent power company, to jointly sponsor a $550m partnership that will target power generation assets in North America.
Both parties were unwilling to disclose how much each had contributed but did reveal that no outside capital will be employed in the fund, according to a report by Reuters.
The partnership will employ Bain Capital's acquisition skill with Tenaska's power industry knowledge to make investments. The private equity firm has no history of investing in the energy sector.
The fund formation comes as the power industry is struggling with high debt loads after an acquisition and diversification spree following industry deregulation in the last decade.
The energy market is refreshingly free from associations with disastrous bubble investments and private equity firms have become increasingly active in the sector. Last year saw final closes for ArcLight Energy Partners Fund at $950m and Lime Rock Partners second fund, which closed above its $320m in just ten months. Texas-based Natural Gas Partners recently held a final close at $600m, well above its $450 target.
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