Masdar among short-listed bidders for 49% stake in another Iberdrola project

Abu Dhabi’s Masdar, which recently signed a joint investment with Iberdrola in the 1.4-gigawatt East Anglia Three offshore wind project in the UK, is reported to be among the three short-listed companies to buy a solar power portfolio owned by the Spanish energy company.

In an exclusive report, Bloomberg said the other companies in the fray are Norwegian sovereign wealth fund Norges Bank Investment Management and Australian firm Fortescue after speaking to people with knowledge of the matter.

The Spanish utility is selling 49 per cent of the Proyecto Julieta portfolio, which has a total capacity of about 1 gigawatt, the sources told Bloomberg. Iberdrola is reportedly seeking a total valuation for the assets of at least €900 million (US$1.04 billion).

Representatives for Iberdrola and the three bidders declined to comment to Bloomberg.

Norges Bank Investment Management also has a track record of closing transactions with the Spanish firm. In 2023, it bought a stake in another portfolio for €600 million (US$694.4 million). That year, Iberdrola also sold a 49 per cent stake in the Baltic Eagle offshore wind farm off the German coast to Masdar.

Bloomberg added that the deal would be similar to other divestments Iberdrola carried out in recent years. By selling minority stakes in large projects to financial partners, the company can retain control of the assets while raising funds to reduce debt and lower the cost of capital.