Folsom-based energy services holding company SJI on Thursday completed the sale of its Marina Thermal Facility to DTE Energy Services for $100 million, subject to certain adjustments for working capital, in cash.
SJI says this transaction is consistent with its stated goal of maintaining a strong balance sheet. The company intends to use proceeds from the sale to repay debt.
The deal through SJI’s wholly-owned subsidiary Marina Energy LLC for the generation plant was first announced in December.
SJI delivers energy services to customers through three primary subsidiaries. SJI Utilities delivers natural gas to about 681,000 South Jersey Gas, Elizabethtown Gas and Elkton Gas customers in New Jersey and Maryland.
DTE Energy Services is a Detroit-based diversified energy company involved in the development and management of energy-related businesses and services.
Guggenheim Securities acted as financial adviser. Morgan, Lewis and Bockius LLP acted as legal advisor to SJI.