Bahrain investment firm Arcapita Bank has bought the Bosque power plant in Texas for $695 million (€467.3 million), according to a statement.
The power station uses natural gas and it is undergoing conversion to a more efficient generation capacity of more than 800 megawatts.
Atif Abdulmalik, chief executive of Arcapita, said in a statement the asset would benefit from the growing demand for clean, efficient power in Texas.
In October the consortium of TPG, Kohlberg Kravis Roberts and Goldman Sachs Capital Partners completed its $45 billion buyout of Texan energy facility TXU.
The Bosque facility will be managed by Fulcrum Power Services, an energy management services company. with an existing relationship with the Bosque management, the statement said.
Other Arcapita deals include the $369 million acquisition of drill part manufacturer Varel Holdings in November last year and the buyout of Northern Irish electricity utility Viridian Group in 2006 for $4.2 billion.
The investment firm makes Shariah compliant investments off its balance sheet, which it subsequently syndicates to investors across the Middle East.