TotalEnergies has agreed to buy 50 per cent of Clearway Energy Group, the fifth-largest renewable energy company in the US. Once completed, this will be TotalEnergies’ largest renewable energy acquisition in the US reportedly. The company stated that it would collaborate with Global Infrastructure Partners (GIP) in this deal.
As part of the deal, GIP will receive $1.6 billion in cash and a 50 percent minus one share interest in the TotalEnergies subsidiary that owns 50.6 percent of SunPower Corporation. ClearWay Energy is valued at $35.1 per share, whereas SunPower is valued at $18 per share. Through its publicly listed subsidiary CWEN, Clearway has 7.7 GW of wind and solar assets in operation, as well as a 25 GW pipeline of renewable and storage projects.
In May 2022, the US Department of the Interior announced that TotalEnergies of France and Duke Energy Corp of the US had been awarded offshore wind leases in federal waters off the coasts of North and South Carolina. The winning bids totalled $315 million, with Duke receiving $155 million and TotalEnergies receiving $160 million. This is TotalEnergies’ second offshore wind lease in the US in 2022.
REGlobal’s Views: The United States is one of the most attractive markets for renewable energy development and investment. Thus, many large energy companies with deep pockets, that want to expand their portfolios in the US, are resorting to acquiring good quality assets. TotalEnergies is heavily expanding its presence in the lucrative US renewable energy market across diverse segments.