- Masdar acquired Spanish firm Saeta Yield for $1.4 billion, gaining 745 MW of operational assets and a 1.6 GW development pipeline by 2030.
- The company secured a 49.99% stake in Endesa’s 2 GW solar capacity portfolio, which includes plans for 500 MW of battery energy storage to enhance grid flexibility.
- Masdar raised $1 billion through green bond issuances in September 2024, attracting strong investor interest amid its ongoing projects and growth in Europe’s renewable energy sector.
Masdar, a key renewable energy company, increases its footprint in Europe. Owned by ADNOC, Mubadala Investment Company, and TAQA, Masdar recently acquired the Spanish firm Saeta Yield from Brookfield Renewable for $1.4 billion. This deal includes 745 megawatts (MW) of operational wind and solar assets in Spain and Portugal and a 1.6 gigawatt (GW) development pipeline set for completion by 2030.
In addition to this acquisition, Masdar secured a 49.99% stake in a 2 GW solar capacity portfolio controlled by Endesa, a subsidiary of Italy’s Enel. Valued at €817 million, this investment also covers the development of 500 MW of battery energy storage systems. These systems aim to enhance grid flexibility in the Iberian electricity market.
Masdar’s strategy focuses on becoming a significant player in Europe’s energy transition. The company targets established projects and seeks partnerships with industry leaders like Iberdrola, which fosters the development of more solar and wind farms. Masdar enjoys solid financial support from Emirati stakeholders, allowing it to invest in mature and new projects.
Local players face rising financing costs and are more willing to divest minority stakes in their renewable portfolios. This trend enables institutional investors like Masdar to acquire high-yield assets while supporting Europe’s decarbonisation goals. Notably, these investments do not significantly burden Masdar’s balance sheet.
Masdar’s ambitions reach beyond the Iberian Peninsula. The company agreed with GEK TERNA in Greece to acquire 67% of TERNA ENERGY SA’s shares. This renewable energy developer boasts a 6 GW portfolio across Europe. This acquisition aligns with Masdar’s strategy to diversify its geographic presence and reduce risks associated with regulatory changes in specific markets.
Masdar actively executes large-scale projects, such as the Almenara solar park, which has a capacity of 1.2 GW, and the Baltic Eagle offshore wind farm, which will provide 476 MW in Germany. However, the company encounters challenges, including rising interest rates and supply chain pressures, which could delay some planned developments.
In Spain, Masdar leverages local partnerships to expedite capacity deployment. Its collaboration with Endesa includes a Memorandum of Understanding (MoU) to develop additional projects. This agreement could raise the total capacity in Iberia to over 5 GW in the coming years. The company also pursues vertical integration by developing battery storage solutions, enhancing the appeal of its projects to local and European regulators.
Masdar relies on diversified financing strategies, including recent green bond issuances that raised $1 billion in September 2024. This approach demonstrates Masdar’s ability to mobilise capital while maintaining strict financial discipline. The strong demand for these bonds, with an order book peaking at $4.6 billion, highlights investor interest in high-quality renewable assets amid the ongoing global energy transition.
In summary, Masdar’s strategic acquisitions and partnerships position it as a significant player in Europe’s renewable energy landscape. With ongoing projects and diversified financing, the company stands well-equipped to navigate challenges and capitalise on growth opportunities in the energy sector.