– Abu Dhabi state-backed renewable energy company Masdar is seeking further European acquisitions after a $3.4 billion deal with Athens-listed Terna Energy, aiming to reinforce its presence in Greece and Eastern Europe.
– Masdar plans to inject more capital into Greece and Europe, with existing projects in Serbia, Montenegro, Poland, and a $1.76 billion investment in the Baltic Eagle offshore wind farm in Germany through a partnership with Spanish firm Iberdrola.
– Despite pressures from higher interest rates, Masdar CEO Mohamed Jameel Al Ramahi stated that these rates have brought the renewable energy sector back to reality, helping the market adjust to more realistic valuations. The company aims to achieve a renewable energy portfolio capacity of 100GW by 2030.
The Abu Dhabi state-backed renewable energy company, Masdar, is seeking more European acquisitions following this month’s $3.4 billion deal with the Athens-listed Terna Energy, according to UK’s Financial Times.
Masdar Chief Executive Mohamed Jameel Al Ramahi told the FT that the Greece deal was not just about acquiring a platform and portfolio.
“We are going to be pumping more capital into Greece and into Europe,” Al Ramahi told the FT. “This is a strategic deal for us where we reinforce our presence in Greece but, more importantly, in Eastern Europe.”
Masdar already has projects in Serbia, Montenegro, and Poland, and an agreement with Spanish firm Iberdrola to co-invest in the Baltic Eagle offshore wind farm in Germany, valued at $1.76 billion.
While the renewables industry faces pressure from higher interest rates, Al Ramahi said that the increase has brought the sector back to reality and made people “come to their senses” over deals.
“When interest rates were at zero, or negative, people were expecting high valuations. Now [higher rates] triggered a realization in the market that the valuation they were thinking of is not real.”The UAE company is pushing ahead with its growth plan, targeting a renewable energy portfolio capacity of 100GW by 2030.
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