Masdar Buys Half of Endesa's 2.5 GW Solar and BESS Assets in Spain

UAE-based renewables developer Masdar has struck a deal to acquire a 49.99% stake in a portfolio of 2.5 GW of solar and storage capacities owned by Spanish utility Endesa SA for EUR 817 million (USD 886.5m).

The agreement encompasses 48 operational solar plants with a combined capacity of 2 GW which will be supported with the addition of 500 MW of new battery energy storage systems (BESS), a press statement said on Thursday.

The transaction, which is carried out at an enterprise value of EUR 1.7 billion and hinges on regulatory clearance, is described as one of the largest renewable energy deals in Spain.

In addition to the investment, Masdar and Endesa, a subsidiary of Italian energy group Enel, have also signed a memorandum of understanding (MoU) to explore the joint development of further renewable energy projects in Spain.

The partnership with Endesa supports Masdar’s expansion plans in Europe and follows its announcement in June of a plan to acquire Terna Energy SA, a Greek renewables firm targeting an operational capacity of 6 GW by 2030.

Abu Dhabi’s green energy group is already present in Spain with the 1.2-GW Almenara solar project in Castilla la Mancha which is currently under development.