TotalEnergies acquires Shell's renewables business

In brief

TotalEnergies has agreed to acquire Shell’s entire European onshore renewable energy business, comprising 500 MW of operational or under-construction solar and wind assets, mainly in Italy and the Netherlands. The transaction also includes a 3.5 GW development pipeline of solar, wind and battery storage projects across Italy, the United Kingdom and Spain. Subject to regulatory approval, the acquisition is expected to close by the end of 2026 and will give TotalEnergies full ownership of the portfolio. It will expand the company’s European renewable assets, which currently total nearly 10 GW in operation or construction and another 27 GW under development.

In a separate transaction, TotalEnergies will sell a 50% interest in a 1.2 GW European solar and wind portfolio to an insurance account managed by KKR, based on an enterprise value of €1.8 billion. The assets are located in Germany, Spain, France and Poland, and their electricity is already contracted to third parties or will be marketed by TotalEnergies. The company will retain the remaining 50% stake and continue operating the facilities. Together, the deals are intended to strengthen TotalEnergies’ position in key deregulated electricity markets while freeing capital for further renewable investment and supporting its target of achieving a 12% return on average capital employed in its Integrated Power business by 2030.

Source: Energy Global

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