Abu Dhabi Future Energy Company PJSC – Masdar announced the proposed acquisition of Saeta Yield from Brookfield Renewable for an implied enterprise value of c. US$1.4 billion (€1.2 billion). The closing of the deal is subject to customary approvals and is expected to happen around the end of this year.

Abu Dhabi Future Energy Company PJSC—Masdar, the UAE’s clean energy giant, announced the proposed acquisition of Saeta Yield from Brookfield Renewable for an implied enterprise value of c. US$1.4 billion (€1.2 billion). The deal’s closing is subject to customary approvals and is expected to occur around the end of this year.

Since buying the business in 2018, Brookfield has worked closely with Saeta’s management team to execute a business plan successfully focused on divesting non-core assets, optimizing its capital structure, and positioning the business for growth through hybridization, repowering, greenfield development, and accretive tuck-in opportunities. The sale aligns with Brookfield Renewable’s asset rotation strategy to recycle capital to fund growth activities.

As one of Spain’s largest renewable energy transactions, the deal further validates Masdar’s position in the country, in one of Europe’s largest renewable markets. And the deal demonstrates Masdar’s commitment to accelerating the energy transition in Spain, Portugal and Europe, and advances its growth plans in the region as the company targets global capacity of 100GW by 2030. Recently, Masdar also announced an agreement with Endesa to become a partner for 2.5GW of renewable energy assets in Spain, subject to regulatory approvals and other conditions.

Masdar has retained Citigroup Global Markets Limited as its transaction advisor, Linklaters as legal advisor, UL as technical advisor and KPMG as its financial and tax advisor. And Brookfield retained Santander and Société Générale as its transaction advisors, Uría Menéndez as legal advisor, G-Advisory as technical advisor and KPMG as its tax advisor.

KEY QUOTES:

“Masdar is committed to accelerating the delivery of clean energy capacity across the Iberian Peninsula and Europe. Representing one of Spain’s largest renewable energy transactions, this landmark deal with Brookfield Renewable builds on Masdar’s strong growth story, demonstrating our commitment to the EU’s wider net zero by 2050 target and unlocking new capacity. Matching words with actions, Masdar is further accelerating its ambitious growth plans, as well as supporting the delivery of the UAE Consensus ratified at COP28 to triple renewable energy capacity by 2030, enabling a just, orderly, and equitable energy transition.”

• HE Dr Sultan Al Jaber, UAE Minister of Industry and Advanced Technology, Chairman of Masdar and COP28 President

“We are thrilled to conclude this important transaction with Masdar. As global leaders in clean energy development, Brookfield and Masdar will continue to be important players to accelerate the journey towards a net-zero economy.”

• Mark Carney, Chair and Head of Transition Investing at Brookfield

“With an operating capacity of 745MW of predominantly wind assets, and a 1.6GW development pipeline in Spain and Portugal, Saeta is a perfect complement to Masdar’s portfolio in Europe, following our recent partnership with Endesa for 2.5GW of solar energy. This deal consolidates our footprint in the Iberian market by acquiring a well-established renewable platform, with a strong operational portfolio and management team, and tangible near-term and long-term growth opportunities, supporting Masdar’s expansion plans to reach 100GW by 2030.”

• Mohamed Jameel Al Ramahi, Chief Executive Officer of Masdar

“We are pleased to have successfully supported Saeta throughout our ownership, having worked closely with the business to scale and optimize its renewable portfolio across Iberia. The company has a strong development pipeline and a top-tier management team, and is well positioned to continue delivering incremental renewable energy to the region over the coming years under Masdar’s sponsorship.”

• Connor Teskey, Chief Executive Officer of Brookfield Renewable Partners

“After more than six years of successful and profitable growth with Brookfield, we are very excited to open a new chapter in Saeta’s history with the arrival of Masdar as the new controlling shareholder. We look forward to working with Masdar to take Saeta to the next phase of its growth story, further consolidating its leadership position as an independent producer of renewable energy in Iberia.”

• Álvaro Pérez de Lema, Chief Executive Officer of Saeta