The transaction aligns with TotalEnergies' integrated electricity business model, retaining operational control of the assets while strategically divesting a portion for capital optimization.
In a strategic move bolstering its integrated electricity business model, global multi-energy company TotalEnergies today announced the successful completion of the sale of a 50% interest in its significant 604 MW wind, solar, and hydroelectric portfolio in Portugal. The stake has been acquired by a consortium comprising MM Capital Partners 2 Co., Ltd., Daiwa Energy & Infrastructure Co. Ltd., and Mizuho Leasing Co., Ltd., for a consideration of 178.5 million euros. This valuation is equivalent to an enterprise value of €550 million for the entire portfolio.
Despite the sale, TotalEnergies will retain a 50% ownership stake and, crucially, will continue to serve as the operator of these diverse assets. This arrangement ensures continuity in operations and leverages TotalEnergies' expertise in managing renewable energy infrastructure.
Furthermore, the agreement includes a forward-looking provision: once the current regulated tariffs benefiting these assets expire, TotalEnergies will take on the responsibility of purchasing their production and handling their commercialization. This aspect of the deal highlights TotalEnergies' long-term vision for these assets, which have an average age of 16 years, ensuring a continued revenue stream and integration into its broader electricity supply chain.
Olivier Jouny, SVP Renewables at TotalEnergies, expressed satisfaction with the partnership, stating, "We are pleased with this partnership in Portugal, a country where TotalEnergies intends to continue its development in renewables. In line with our strategy, this transaction allows us to optimize our capital allocation in our integrated electricity activities and contribute to improving the sector's profitability."
TotalEnergies is actively building a robust and competitive portfolio that integrates various renewable energy sources like solar, onshore wind, and offshore wind, with flexible assets such as CCGT (Combined Cycle Gas Turbines) and energy storage solutions. It also produces and markets energies: oil and biofuels, natural gas, biogas and low-carbon hydrogen, renewables and electricity. This comprehensive approach is designed to provide clean and reliable power to its diverse customer base. As of the end of March 2025, TotalEnergies boasted an impressive 28 GW of installed gross renewable electricity generation capacity.
This transaction in Portugal exemplifies TotalEnergies' dynamic strategy in the global energy transition, showcasing its ability to adapt its business model to foster growth in renewable energies while maintaining financial discipline and operational control. The partnership with the Japanese consortium further diversifies TotalEnergies' investment base in the renewables sector, signaling continued confidence in the long-term prospects of clean energy.
