Brazil: Iberdrola digs into local renewables market with Força Eólica buy

Spanish energy giant Iberdrola has closed an agreement with Neoenergía to scoop up the remaining 50% of stocks in Forca Eólica do Brasil 1 and 2, in a deal estimated at €98 million euros. The purchase solidifies the company’s presence in Brazil, as well as its commitment to renewable energy sources.

The acquisition makes Iberdrola, which already controlled 50% of the Brazilian companies, the sole proprietor of over 288 MW of windpower generation capacity in the Bahia and Rio Grande do Norte states.

The deal still has to be approved by regulators, such as competition regulator CADE and financial institutions BNDES and Banco do Brasil, who will back the transaction. Iberdrola and Neoenergía will continue to be 50% partners in a further FEB development, which will eventually generate up to 1500 MW of wind power after construction of three parks in Rio Grande do Norte.

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