TotalEnergies has agreed to acquire German renewable energy developer VSB Group, from Swiss asset manager Partners Group, in a deal worth €1.57bn.
The consideration includes both the equity value and a shareholder loan.
VSB, which specialises in onshore wind power farms across Europe, has a portfolio that includes more than 475MW of renewable capacity in operation or under construction. The assets are located primarily in Germany and France.
It also has a development pipeline of 18GW, spanning wind, solar, and battery storage projects across Germany, Poland, and France.
Through the acquisition, TotalEnergies aims to bolster its integrated power value chain in Germany, where half of VSB’s portfolio is concentrated.
This move also complements TotalEnergies’ recent initiatives in the German energy market, such as the acquisitions of battery storage developer Kyon Energy and energy manager Quadra Energy.
It also add to TotalEnergies’ recent offshore wind initiatives in northern Germany.
Completion of the transaction is subject to approval from merger control authorities.
In a separate development, TotalEnergies has reached an agreement with Apollo-managed funds to sell a 50% stake in a 2GW portfolio of solar and battery energy storage systems (BESS) projects in Texas.
The deal, valued at $800m, includes $550m in equity from Apollo and $250m through shareholder loan refinancing.
The portfolio comprises three solar projects with a total capacity of 1.7GW and two battery storage projects with 300MW capacity.
Upon completion of this transaction, TotalEnergies will retain a 50% stake and continue operating the assets, which include the Danish Fields, Cottonwood, and Hill Solar I projects.
Power generated by these projects has been or will be sold to third parties or commercialised by TotalEnergies.
TotalEnergies gas, renewables, and power president Stéphane Michel said: “In line with our strategy, these transactions will enable us to optimise our capital allocation in renewables and contributes to improve the profitability of our Integrated Power business.
“We welcome the 500 employees of VSB Group and their leading onshore wind expertise in European markets. Their competences and assets will contribute to the development of our Integrated Power strategy in Europe, and notably in Germany.
“Finally, we are looking forward to joining forces with Apollo as a partner in our renewable assets in Texas.”
