Brookfield Renewable, together with its institutional partners, acquired renewable energy developer Urban Grid and its pipeline of projects comprising approximately 13,000 MW of utility-scale solar and 7,000 MW of energy storage capacity for $650 million.
The addition of Urban Grid’s projects approximately triples Brookfield Renewable’s U.S. development pipeline to approximately 31,000 MW of capacity.
Founded in 2020, Urban Grid has approximately 2 GW of under-construction or ready-to-build solar PV projects, along with another 4 GW of de-risked advanced stage buildout opportunities.
Brookfield Renewable said that Urban Grid, which UK renewables investor Susgen has backed since 2016, will retain its brand name and continue as an independent power producer (IPP). “The joining together of our outstanding teams and adding Urban Grid’s high-quality pipeline of clean energy projects presents an exceptional opportunity for Brookfield Renewable to further establish itself as the leading renewable energy provider in the country,” said Mitch Davidson, Chief Executive Officer of Brookfield Renewable’s U.S. business.
“Urban Grid’s team not only deepens our development capabilities, but it also provides strategic access to key U.S. markets, serving as the perfect catalyst to accelerate Brookfield Renewable’s growth,” he added.
Brookfield Renewable operates hydroelectric, wind, solar, and storage facilities in North and South America, Europe, and Asia. The company’s portfolio includes 21 GW of installed capacity and a development pipeline of around 56 GW.
Nomura Greentech acted as Urban Grid’s financial advisor, and Orrick, Herrington & Sutcliffe served as Urban Grid’s legal advisor. Sidley Austin served as legal advisor to Brookfield Renewable.
According to Mercom’s recently published Q4 2021 solar funding and M&A report, M&A activity in the solar sector soared with 126 transactions in 2021 – the highest number of deals ever recorded.