Spanish power company Naturgy plans to invest up to $1.8 billion in the United States after making its first push into the U.S. market with a deal to buy a solar energy developer, the company said on Friday.
Naturgy plans to make the investments over a five-year period, it said, announcing the acquisition of Hamel Renewables in a transaction valuing the firm at $57 million including debt.
The deal includes an exclusive agreement with San Francisco-based Candela Renewables to develop Hamel’s portfolio, which contains 8 gigawatts (GW) of solar projects and 4.6 GW of storage.
Two sources familiar with the matter told Reuters on Wednesday that Naturgy was close to signing a deal with Candela, which was founded in 2018 by former First Solar employees.
Twenty-five of the projects, representing 3.2 GW of solar capacity and 2 GW of storage, could be up and running by 2026, Naturgy said.
[Inti Landauro and Isla Binnie]