French oil giant Total has invested €237.5m to take a 23% stake in renewables outfit Eren in order to “accelerate its growth” in the clean energy sector.
The agreement also gives Total the right to possibly takeover Even after a five-year period.
The investment will allow Eren to “cover its financing needs to accelerate its development in the coming years”.
Eren has a portfolio of mainly wind, solar and hydro assets totalling about 650MW operating or under construction.
Total chief executive Patrick Pouyanne said: “By partnering with Eren, we are leveraging a team that has a proven track record in renewable power production and we are investing in an additional asset to accelerate our profitable growth in this segment.
“Eren’s momentum will allow us to accelerate our growth in solar energy and move us into the wind power market.”
Eren chairman Paris Mouratoglou said: “This strategic agreement allows us to join forces with a major energy player, with whom we share a strong desire for development in the renewable energy sector.”
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Total takes €238m green interest
Oil giant moves into wind power with 23% stake in renewables outfit Even
By EBS