TotalEnergies has signed agreements to acquire Shell’s onshore renewables business in Europe and sell a 50% stake in a separate 1.2GW solar and wind portfolio to an insurance account managed by KKR.
The acquisition covers Shell’s entire European onshore renewables business, comprising a 4GW portfolio of operating, construction-stage and development assets.
The portfolio includes 500MW of solar and wind capacity in operation or under construction, mainly in Italy and the Netherlands. It also includes a 3.5GW pipeline of solar, wind and battery storage projects in Italy, the United Kingdom and Spain.
TotalEnergies is expected to complete the acquisition by the end of 2026, subject to approval by the relevant authorities. The company will wholly own the portfolio following completion.
The transaction will complement TotalEnergies’ power generation activities in four key European countries.
The company said its European renewables portfolio currently includes nearly 10GW of gross installed capacity or capacity under construction, together with 27GW under development.
In a separate agreement, TotalEnergies will sell a 50% stake in a 1.2GW portfolio of onshore solar and wind assets to an insurance account managed by KKR.
The portfolio has an enterprise value of €1.8 billion and includes assets in Germany, Spain, France and Poland.
Electricity generated by the assets is already sold to third parties or will be marketed by TotalEnergies.
The company will retain the remaining 50% stake and continue to operate the assets after completion. The transaction is expected to close in 2026, subject to customary conditions.
Stéphane Michel, President, Gas, Renewables & Power at TotalEnergies, said the agreements would support the company’s allocation of capital in renewables and the continued deployment of its Integrated Power strategy.
He said the acquisition of Shell’s assets would strengthen TotalEnergies’ power generation position in selected deregulated European markets and support its activities across the electricity value chain.
Michel added that the acquired portfolio would complement the flexible generation capacity of TTEP’s gas-fired power plants, particularly in Italy, the Netherlands and the United Kingdom. TTEP is a joint venture between TotalEnergies and EPH.
He also said the agreement with the insurance account managed by KKR was consistent with the company’s renewables business model as Integrated Power targets a ROACE of 12% by 2030.
