The companies have formed a 34% (TotalEnergies)/66% (Casa Dos Ventos) JV to jointly develop, build and operate the projects. The portfolio comprises 700 MW of operational and 1 GW of under-construction onshore wind projects, along with a development pipeline of 2.8 GW of onshore wind and 1.6 GW of solar power facilities. The assets in the pipeline are expected to achieve commercial operations within 5 years. TotalEnergies will pay a cash consideration of $550mn and up to $30mn in contingent earn-out to enter the JV. The newly formed JV also plans to grow its portfolio by accessing an additional 6 GW of wind and solar projects, bringing the combined gross capacity under joint development by the partners to 12 GW. Further, the company will have the option to acquire an additional 15% stake in the partnership after 5 years.
The collaboration will benefit from TotalEnergies’ presence in the global corporate PPA market, energy trading capabilities and strong financial position, which will be augmented by Casa Dos Ventos' established local presence and development capabilities.
The move marks TotalEnergies' largest renewables partnership globally, since 2017, and also represents the company's most significant collaboration in the Latin American region to date. Further, the JV builds upon TotalEnergies' recently announced offshore wind ambitions in the country, which comprise 9 GW of projects in the pipeline.
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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