SVP to buy South Field Energy stake as power demand draws capital

Strategic Value Partners has agreed to acquire a minority stake in South Field Energy, an Ohio-based natural gas-fired power plant, PE Hub reported. The SVP South Field Energy stake adds to the investor’s exposure to power generation at a time when the firm says data center demand is creating opportunities in the sector.

Financial terms of the transaction were not disclosed, according to PE Hub. South Field Energy began commercial operations in 2021.

The investment is being made through SVP’s partnership with EverGen Power, PE Hub reported. EverGen is a power generation asset management firm that SVP formed in 2024.

What is SVP buying in South Field Energy?

SVP is acquiring a minority interest rather than full control of South Field Energy, according to PE Hub. A minority stake gives an investor an ownership position in a company or asset without making it the sole or controlling owner, although the specific rights depend on the transaction terms, which were not disclosed.

South Field is already backed by a shareholder group that includes Asian and U.S. investors, according to comments from David Greenberg, head of North American corporate investments at SVP. Greenberg said SVP was pleased to join that ownership group and to support efforts to increase the value of the asset in what he described as a high-growth market.

Greenberg also said SVP sees an attractive set of opportunities in power generation. He attributed that view to structural growth in data center demand, as well as a need for consolidation and new ownership strategies in the sector.

Why are data centers relevant to a gas-fired power plant?

Data centers require large and steady supplies of electricity to operate computing equipment, cooling systems and related infrastructure. Growth in that demand can affect the economics of power generation assets, including plants that are able to provide reliable output to the grid.

The transaction places SVP’s investment through EverGen, its power generation asset management platform. PE Hub described EverGen as a firm formed by SVP in 2024, and the South Field investment as part of that partnership.

The report did not disclose the size of the minority interest, the valuation of South Field Energy, the sellers, or any expected closing date. It also did not provide additional operating details for the plant beyond its location in Ohio, fuel type and 2021 start of commercial operations.

This story draws on original reporting from PE Hub.