ABU DHABI: Abu Dhabi Future Energy Company, known as Masdar, announced its intention to acquire Saeta Yield from Brookfield Renewable for approximately $1.4 billion.
The acquisition is poised to significantly enhance Masdar’s position within the renewable energy sector, particularly in the Iberian Peninsula, aligning with global efforts to transition toward a net-zero economy.
The completion of this transaction is anticipated to occur by the end of 2024, subject to the necessary regulatory approvals.
Saeta Yield stands out as a leading independent developer, owner, and operator of renewable energy assets, boasting a diverse portfolio of 745 megawatts (MW) predominantly from wind energy, divided across Spain and Portugal. This portfolio includes 538 MW of wind in Spain, 144 MW in Portugal, and 63 MW of solar photovoltaic assets in Spain.
Combating climate change
Notably, the acquisition also encompasses a 1.6-gigawatt (GW) development pipeline that promises substantial future capacity, although it excludes 350 MW of concentrated solar power assets retained by Brookfield.
Dr. Sultan bin Ahmed Al Jaber, Chairman of Masdar and COP28 President, emphasised that this acquisition is not merely a financial transaction but a commitment to advancing clean energy initiatives throughout Europe.
He articulated Masdar’s dedication to the European Union’s net-zero targets by 2050 and the UAE’s own ambitions to triple renewable energy capacity by 2030. This aligns with a broader narrative of sustainable and equitable energy transitions essential for combating climate change.
Mark Carney, Chair and Head of Transition Investing at Brookfield, expressed enthusiasm for the collaboration, highlighting both organisations’ roles as frontrunners in clean energy development.
Since acquiring Saeta in 2018, Brookfield has strategically enhanced the entity’s operational efficiency and market readiness by focusing on divesting non-core assets and optimizing its capital structure.
The integration of Saeta Yield into Masdar’s portfolio is anticipated to fortify the latter’s existing capabilities and foster innovation aimed at meeting aggressive growth targets. Mohamed Jameel Al Ramahi, Masdar’s CEO, stated that acquiring Saeta is in line with their expansive ambitions to reach 100 GW of renewable energy capacity by 2030. This complements Masdar’s recent ventures, including a partnership with Endesa for 2.5 GW of solar energy.
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