Leidos Holdings (NYSE: LDOS) has agreed to take full control of a biomass power plant being built in Plainfield, Conn. through a consensual foreclosure process.
The 37.5-megawatt facility is expected to generate electricity for 37, 000 households and is scheduled for completion by the end of this year and was announced last January, Leidos said Tuesday.
“We’ve reached this agreement in an effort to maximize the value of our investment for our shareholders, ” said John Jumper, Leidos chairman and CEO.
He added that the Plainfield facility is one of the only Class 1 biomass plants in the state of Connecticut.
Leidos is acting as a secured lender and intends to assume ownership of the project company after receiving all necessary governmental approvals later this year.
The project secured an off-take deal to supply power to Connecticut Light & Power over 15 years.
Leidos says it will operate the biomass plant, seek tax incentives from the state and launch marketing campaigns to attract renewable energy investors.