14 January 2022 | 15:31 GMT
Iberdrola, via its UK subsidiary ScottishPower, has agreed to acquire more than 800 MW of solar PV projects across England, Scotland and Wales for an undisclosed amount
The Spanish utility said in a statement on Friday (14 January) that it had concluded two separate deals with developers Elgin Energy, which owns 12 projects, and Lightsource BP, which agreed to sell the remaining five sites.
Of the total 800 MW acquired by ScottishPower, the sale of Elgin’s construction-ready portfolio amounted to 519 MW, including a co-located 70 MW battery scheme at an advanced stage of development, Rubicon’s press release regarding the deal noted.
All 17 projects are in advanced stages of development and will be operational by 2025. The company is looking to invest approximately GBP 500m for the commissioning of the solar farms.
Iberdrola was provided legal advise by Herbert Smith Freehills, while Elgin was advised by DLA Piper and financial advisor Rubicon Capital Advisors.
The acquisition positions Iberdrola and ScottishPower as one of the largest owners of solar power generation in the UK, a source familiar with the deal said. The sale of Elgin’s portfolio had been ongoing since July last year, and involved a two stage auction that garnered the interest of both financial and strategic investors.
As of September 2021, Iberdrola has almost 3 GW of installed PV worldwide. It also has 31 GW of solar projects under development in Spain, the US, Mexico, the UK, Portugal and Italy.
The firm’s investment plan for 2020-2025 sets to double its current PV capacity to 6 GW by the end of 2022, and to have 14 GW installed by 2025.