Société Générale last week sold a GBP24 million stake in Damhead Creek, an 800 MW merchant power plant in Kent, southern England, according to sister publication Power, Finance & Risk. The plan was foreclosed on last January by its bank creditors. Market watchers say SG sold a GBP20 million tranche of senior debt to Banc of America Securities for 98.8% of face value and a GBP4 million tranche of subordinate debt to Deutsche Bank at 93%.
The sale comes as Damhead’s roughly one dozen creditors mull whether to accept one of the three offers for Damhead that were placed early this month. U.K. utility ScottishPower , U.S. IPP Calpine and a newly formed bank-sponsored genco, CGE Power , have filed bids in the GBP300-350 million ($550-635 million) range within the past three weeks.
Officials at SG and DB declined to comment. Calls to BofA were not returned.