TotalEnergies Sells Half of $300 Million Renewables Portfolio

The 234 MW portfolio includes 23 solar and 6 wind projects


France-based energy conglomerate TotalEnergies said it has sold 50% of a 234 MW portfolio of renewable projects to insurance group Crédit Agricole Assurances.

The company said that the transaction implied an enterprise value of $300 million (100%) for the portfolio, which is equivalent to 16 times the EBITDA.

The portfolio includes 29 solar and wind projects, of which 25 projects totaling 180 MW are already operational while four others of 54 MW capacity will be commissioned in the first half of 2023, TotalEnergies said.

The partial transaction will enable TotalEnergies to accelerate its project cash flows and improve the return on invested capital, aligning with its business model for the development of renewable energy.

The asset management, operation, and maintenance of the 29 clean projects will be undertaken by the company. The projects will cumulatively provide energy for 200,000 people while helping mitigate at least 96,000 tons of carbon emissions for the next three decades.

“This partial sale demonstrates the strength of our business model, which ensures a return on invested capital in renewable energies of more than 10%. With Crédit Agricole Assurances’ strong teams and business model, TotalEnergies intends to continue its development in France where we aim to reach 4 GW of renewable generation capacity by 2025,” said Senior Vice President, Renewables at TotalEnergies, Vincent Stoquart.

Head of Investments at Crédit Agricole Assurances Florence Barjou said, “This transaction is in line with our strategy as a long-term institutional investor in the acceleration of renewable energies, in favor of the energy transition and a low-carbon economy. In line with the Crédit Agricole Group’s climate commitments, this transaction will increase our investments in renewable energies and help us reach an installed capacity of 14 GW by 2025.”

In December 2022, TotalEnergies ENEOS installed a 1 MW rooftop solar photovoltaic system for a textile company, Sri Kannapiran Mills in Tamil Nadu. The system is aimed at catering to 30% of the mill’s power needs and will generate around 1,500 MW of power annually to help the mill mitigate 1,200 tons of carbon emissions.

Last June, a consortium formed by Crédit Agricole Assurances and Switzerland-based Energy Infrastructure Partners bought a 25% stake in the renewables business of Spanish petrochemical company Repsol for €905 million (~$949 million).


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