Warburg Pincus in $2.4bn energy deal

Through its portfolio company Targa Resources, the global private equity firm has announced the acquisition of the midstream energy business of Dynegy for approximately $2.4bn.

With backing from its private equity owner Warburg Pincus, Houston-based Targa Resources has agreed to purchase Dynegy Midstream Services, a subsidiary of the publicly traded power generation and natural gas company Dynegy, for approximately $2.35 billion (€1.9 billion).

Under the terms of the transaction, which is expected to close in the fourth quarter, Dynegy will receive $2.35