The companies did not disclose the financial terms of the transaction, which is expected to be completed later in 2015.

The facility, which started operations in December 2013, uses clean biomass as its fuel to provide baseload renewable energy for about 280,000 households.

Connecticut Light and Power buys the energy generated from the facility under a long-term offtake agreement.

Greenleaf Power president Hugh Smith said: "The acquisition of Plainfield Renewable Energy will mark Greenleaf Power’s sixth acquisition in North America and second on the east coast.

"Plainfield Renewable Energy will add to our portfolio of biomass plants and increase our total renewable energy capacity to more than 180 megawatts."

Energy and resources focused private equity firm Denham Capital owns a majority stake in Greenleaf Power, which invests in and develops projects that collect biomass, which will otherwise be openly burned or landfilled.

Greenleaf Power, which employs more than 150 people, has facilities in California and Canada.