Bernhard Capital to Buy Entergy’s $484M Gas Distribution Business

Bernhard Capital Partners, a Baton Rouge-based private equity group focused on services and infrastructure, has agreed to buy Entergy’s gas distribution business for approximately $484 million in cash.

Entergy’s gas business serves approximately 95,000 homes and businesses in the Baton Rouge, LA area, and Entergy New Orleans’ gas business serves approximately 109,000 locations.

“Under Entergy’s leadership, the natural gas distribution business has effectively served the two largest metropolitan areas in our state for decades. “We believe this operation is primed to provide even greater services to Louisiana communities and beyond,” said Jeff Jenkins, founder and partner at Bernhard Capital Partners.

The sale will need approval from the Louisiana Public Service Commission, Baton Rouge Metro Council and New Orleans City Council. The New Orleans City Council regulates Entergy New Orleans. Entergy said it expects it to close in 21 months pending regulatory approval.

Bernhard Capital Partners was founded in 2013 by Jim Bernhard, the former leader of the Shaw Group. The firm, which has approximately $3.4 billion of gross assets under management, focuses on investing in companies that provide critical services to government, infrastructure, industrial, utility and energy sectors, as well as investing in utility assets.

To date, Bernhard Capital has invested in over 65 services focused companies across 19 platforms, including several utility companies.