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Direct Investment  + Alternative Assets  + Real Assets  | 
Morgan Stanley to Exit Bayonne Energy Center Stake

Morgan Stanley to Exit Bayonne Energy Center Stake

Morgan Stanley Investment Management’s infrastructure arm has agreed to sell its ownership stake in Thermal Bayonne Holdings, LLC, the owner of Bayonne Energy Center, to Jupiter Energy Investor, LLC.  

The Bayonne, New Jersey–based facility supplies electricity, capacity, and ancillary services exclusively to New York City via a dedicated subsea cable system. Morgan Stanley Infrastructure Partners acquired the plant in 2018 and has managed it through its power asset management platform, TigerGenCo. 

“As the newest dispatchable generator serving New York City, Bayonne has demonstrated exceptional operational performance and plays a critical role in supporting New York’s grid reliability,” said Dan Barbosa, executive director at MSIP.  

Bayonne Energy Center is a 660‑megawatt dual‑fuel generating facility serving the five boroughs—known as NYISO Zone J, one of 11 geographic load zones overseen by the New York Independent System Operator to manage bulk power reliability and wholesale markets. 

The transaction is expected to close in the third quarter of 2026. Jefferies LLC served as lead financial advisor to MSIP. 

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Morgan Stanley Infrastructure Partners

About Joe Palmisano

Joe Palmisano is Editorial Director for Connect Money, where he brings nearly three decades experience of market insights as a financial journalist, analyst and senior portfolio manager for leading financial publications, advisory firms, and hedge funds. In his role as Editorial Director, Joe is responsible for the selection of content and creation of daily business news covering the financial markets, including Alternative Assets, Direct Investment and Financial Advisory services. Before joining Connect Money, Joe was a financial journalist for the Wall Street Journal, regularly publishing feature stories and trend pieces on the foreign exchange, global fixed income and equity markets. Joe parlayed his experience as a financial journalist into roles as a Senior Research Analyst and Portfolio Manager, writing daily and weekly market analysis and managing a FX and US equity portfolio. Joe was also a contributing writer for industry magazines and publications, including SFO Magazine and the CMT Association. Joe earned a B.S.B.A. in Finance from The American University. He holds the Chartered Market Technician (CMT) designation and is a member of the CFA Institute.