National Grid, a major energy company that operates in the U.K., Massachusetts, New York and Rhode Island, has closed its previously announced $40 million investment in Clean Line Energy Partners LLC, a firm that is focused on high voltage direct current (HVDC) transmission projects to move renewable energy to market.
Under the terms of the transaction, Clean Line says it will use proceeds from the National Grid investment to advance the development of its four HVDC transmission projects that will connect onshore wind energy resources in the Midwest to communities and cities with demand for low-cost, clean power. Meanwhile, National Grid will have the ability to acquire a significant ownership stake in Clean Line's HVDC projects.
Lazard acted as financial advisor to Clean Line for this transaction. Grid America, a subsidiary of National Grid USA, will make the investment in Clean Line with corporate funds; the transaction is separate from National Grid’s existing regulated businesses in the U.S. and the U.K. The funds associated with ZBI Ventures and the Houston-based Zilkha family will maintain their existing equity stakes in the company.
