(Bloomberg) — Masdar is nearing an acquisition of Spanish renewable energy firm Saeta Yield SA from Brookfield Asset Management, people familiar with the matter said.

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The Abu Dhabi clean-energy firm is putting the final touches on a deal that could be announced this month, the people said, asking not to be named as discussions are private.

Saeta, which owns assets in Spain and Portugal, could be valued at as much as €1.5 billion ($1.7 billion), according to local news reports.

Clean-energy companies have been drawing investor interest across several European markets in recent months, as high interest rates and equipment costs brought valuations down. Spain is a major market for solar power in the region.

While Masdar’s discussions about a deal for Saeta are advanced, they could still be delayed or falter, the people said. A spokesperson for Brookfield declined to comment, while a press officer for Masdar said the fund doesn’t comment on “market speculation.” A representative for Saeta didn’t immediately respond to requests for comment outside regular business hours.

This would be Masdar’s second clean-energy deal in Spain in as many months. In July, it agreed to buy a minority stake in a portfolio of solar fields from an Enel SpA subsidiary.

Brookfield acquired Saeta in 2018 and took it private. The Madrid-based company had been listed in early 2015 amid an investor frenzy for so-called yieldcos — a type of renewable-energy firm whose plants produce a steady flow of dividends and require low investment.

Mark Carney, chair of Brookfield Asset Management, is also chair of Bloomberg Inc.

(Updates with response from Masdar in fifth paragraph.)

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