Masdar Accelerates U.S.
Renewables Expansion
Closes Acquisition of 50%
Stake in Terra-Gen
·
Masdar's joint
ownership of
Terra-Gen demonstrates
long-term commitment to investing in
and supporting U.S.
energy
transition
·
Terra-Gen's gross
operating portfolio comprises 3.8GW of
wind, solar and battery storage projects, including 5.1GWh of
energy storage facilities across 30 renewable power
sites
·
Terra-Gen's 12GW+
pipeline includes new windfarm and new solar
park to start commercial operations in 2025
ABU
DHABI, United Arab Emirates & NEW YORK -
OCTOBER
01,
2024 - Abu Dhabi Future Energy
Company PJSC - Masdar ("Masdar"), the United Arab Emirates' clean energy powerhouse, today
announced the closing of its acquisition of a 50 percent stake in
Terra-Gen Power Holdings II, LLC ("Terra-Gen"
or "the Company"),
one of the largest independent renewable energy power producers in the United States, from Energy Capital Partners ("ECP").
ECP, one of the largest private
investors in power and renewable assets in the United States, has
fully exited its position in Terra-Gen in connection with the
closing of the transaction. Igneo Infrastructure Partners
("Igneo"), a global infrastructure
investment manager, retains its existing 50
percent stake in Terra-Gen.
Representing one of Masdar's largest
transactions, the deal further cements Masdar's position in the
U.S. Masdar first entered the market in 2019 and has a proven
history of funding, developing, owning and operating clean energy
projects in the country. Before the Terra-Gen
acquisition, its U.S. portfolio of utility scale wind, solar and
storage assets had a generating capacity of more than 1.4GW.
The U.S. market and Terra-Gen's scalable platform will play
important roles as Masdar executes its plan to build 100GW of capacity in its global renewable energy portfolio
by 2030.
Terra-Gen's gross operating portfolio currently
comprises 3.8GW of wind, solar and battery storage projects,
including 5.1GWh of energy storage facilities across
30 renewable power
sites throughout the U.S., predominantly in
California and Texas.
Terra-Gen is currently
developing more than 12GW of wind, solar and battery storage projects in the U.S.
Its development activities include projects in California, Texas
and New York. The project pipeline includes 386MW
of Texas wind and
California solar,
and 512MWh of California energy storage
facilities, with
commercial operations anticipated in 2025.
Established in 2006, Masdar has a
long-standing commitment to advancing renewable energy projects
across the globe. The purchase of a 50% share in Terra-Gen
represents another significant milestone as the company works to
support the target set in the historic UAE
Consensus to triple global renewables capacity by the end of this
decade.
Masdar's commitment to the U.S. market reflects the
UAE's strong ties
to the country. In
January 2023, UAE and U.S. officials announced that US$20 billion
will be allocated to fund 15GW of clean energy projects in the U.S.
before 2035, led by Masdar and a consortium of US private
investors, under the Partnership for Accelerating Clean
Energy (PACE) between the two
countries.
Transaction Advisors
Lazard and Guggenheim Securities are
serving as financial advisors,
and Latham & Watkins LLP is
serving as legal advisor to Terra-Gen. BMO Capital Markets and JP
Morgan are serving as financial advisors, and White & Case LLP and
Covington & Burling LLP are serving as legal advisors to
Masdar. Mayer Brown is serving as legal advisor to Igneo Infrastructure Partners.
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