Acquisitions by foreign investors accounted for 60% of wind deals in the United States, for the first time in 2022. US-based utilities/IPPs are selling assets primarily to raise funds to counterbalance the higher refinancing costs for debt maturities coming due in 2024, with NextEra, Algonquin Power & Utilities, PG&E and Southern Company accounting for a combined ~$30bn of liabilities. This has created a unique opportunity primarily for European utilities/IPPs that are seeking to diversify their portfolios internationally due to challenging market conditions caused by price volatility and windfall taxation. Further, incentives offered under the IRA are also attracting foreign investments.
The above analysis is proprietary to Enerdatics’ energy analytics team, based on the current understanding of the available data. The information is subject to change and should not be taken to constitute professional advice or a recommendation.
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