TotalEnergies has announced the sale of a 50% stake in its North American solar portfolio to investment firm KKR. The energy major will receive $950 million from the transaction, which includes bank refinancing. The sold assets comprise six utility-scale solar facilities and 41 distributed generation assets, primarily located in the United States.

The portfolio has a total enterprise value of $1.25 billion, with an installed capacity of 1.4 gigawatts. TotalEnergies will retain a 50% stake in the portfolio and continues to sell some of the electricity generated by these assets. This partnership is expected to facilitate the company’s expansion in the deregulated North American electricity market.

According to Stephane Michel, TotalEnergies President of Gas, Renewables & Power, the collaboration with KKR will support the group’s growth in the region. The North American solar market has experienced significant growth in recent years, driven by increasing demand for renewable energy sources.

TotalEnergies’ decision to sell a portion of its solar portfolio is part of its strategy to optimize its assets and focus on high-growth areas. The company has been actively investing in renewable energy projects, including solar and wind power, to reduce its carbon footprint and meet growing energy demands.

The $950 million deal demonstrates the growing interest in renewable energy investments, particularly in the North American market. As the world transitions towards cleaner energy sources, companies like TotalEnergies are adapting their portfolios to meet changing energy needs. With this transaction, TotalEnergies reinforces its commitment to expanding its presence in the renewable energy sector, while also generating significant revenue from the sale.