Blackstone Infrastructure Partners, the infrastructure unit of New York-based private equity major Blackstone, has completed the acquisition of a 19.9% stake in the Northern Indiana Public Service Company (NIPSCO) for $2.16bn.

The deal, which was first announced by NIPSCO parent company NiSource in June, includes an additional equity commitment of $250m by Blackstone Infrastructure Partners to fund ongoing capital requirements.

NiSource maintains control of the business through its remaining 80.1% holding.

In a statement NiSource said it intends to use the capital infusion to support its fastest growing utility and its ability to serve customers, strengthen its balance sheet and fund ongoing capital needs associated with the renewable energy generation transition.

Through 2030, NIPSCO expects to make significant investments in its electric generation transition, primarily focused on installing new renewable generation to replace coal-fired generation retirements. NIPSCO also intends to support the continued growth and modernisation of its gas and electric transmission and distribution systems, which will play critical roles in the energy transition as NIPSCO continues to deliver a reliable, diverse and sustainable energy mix, bringing customer, environmental and economic benefits.