The Public Sector Pension Investment Board (PSP Investments) is selling the US operations of FirstLight to Hull Street Energy, a specialist power infrastructure and renewable energy investor.
FirstLight’s US operations, including the Allegheny Hydro portfolio, are included in the sale. The US portfolio comprises approximately 1.4GW of installed capacity across hydroelectric generation, energy storage and renewable assets in Massachusetts, Connecticut and Pennsylvania.
The transaction expands Hull Street Energy’s US hydroelectric footprint, following its agreement last year to buy 13 hydroelectric dams across Michigan from Consumers Energy. Once both deals close, Hull Street Energy’s portfolio will encompass roughly 1,200MW of flexible pumped storage hydro capacity and nearly 400MW of high-quality hydroelectric capacity.
Sarah Wright, founder and managing partner of Hull Street Energy, said: ”The retirement of dispatchable generation in New England has left the region struggling to integrate sufficient new clean resources to meet growing demand, raising concerns about the impact of narrowing reliability margins on grid stability and affordability.
“Addressing this challenge requires thoughtful retention and optimisation of existing clean, firm, long-duration resources like Northfield Mountain, which plays a critical role in maintaining grid reliability across the region. We look forward to partnering with the accomplished FirstLight team to revitalise the important legacy hydro industry and deliver safe, sustainable, reliable and affordable power to customers.”
PSP Investments, which has owned FirstLight since 2016, will retain control of the company’s Canadian platform, consisting of H2O Power and Hydromega.
Justin Trudell, president and CEO of FirstLight, said: ”We value what the team has built at FirstLight and are grateful for the support of PSP Investments during their ownership. We are excited to continue leading the US business and to be partnering with Hull Street Energy in this next chapter in the FirstLight story.”
Andrew Alley, managing director and global head of infrastructure investments at PSP Investments, said: ”We would like to thank the FirstLight team for their leadership, stewardship and collaboration throughout the development of the platform.
“This transaction reflects our disciplined approach to portfolio management and return optimisation while preserving exposure to projects in Canada with long-term, inflation-linked cashflows. We will continue to leverage our global expertise here at home to seek out new opportunities in the Canadian power sector.”
Justin Trudell, president and CEO of FirstLight, said: ”Our exceptional team has grown FirstLight into a prominent clean power company in the Northeast, distinguished by our excellent operating record and the assets’ valuable contributions to the grid.
“We are excited to continue leading the business in the Northeast and to be partnering with Hull Street Energy in this next chapter in the FirstLight story.”
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