TotalEnergies is acquiring Shell’s onshore renewables business in Europe for an undisclosed amount
It includes operating assets and a multi-gigawatt development pipeline across four European countries
TotalEnergies has also announced a partial sale of developed renewable assets to KKR
TotalEnergies, the French energy giant, has signed an agreement to acquire Shell’s onshore renewables business in Europe, while separately agreeing to sell a 50% stake in a portfolio of developed renewable assets to investment firm KKR.
The acquisition from Shell includes 500 MW of solar and wind assets that are either operating or under construction, along with a 3.5 GW pipeline of solar, wind, and battery energy storage projects. The assets are located across Italy, the Netherlands, Spain, and the UK. According to TotalEnergies, the acquisition will expand its power generation activities in these four European markets.
Once complete, TotalEnergies says its European renewables portfolio will total nearly 10 GW of gross installed capacity or capacity under construction, with another 27 GW under development.
Separately, TotalEnergies has agreed to sell a 50% stake in a 1.2 GW onshore solar and wind portfolio to an insurance account managed by KKR. The ‘largely developed’ portfolio, valued at an enterprise value of €1.8 billion, includes assets in Germany, Spain, France, and Poland.
TotalEnergies will retain the remaining 50% stake and continue operating the assets after the transaction closes. Both transactions are expected to close by the end of 2026, subject to regulatory and customary approvals.
Stéphane Michel, President, Gas, Renewables & Power at TotalEnergies, said, “In line with our strategy, these two transactions enable us to optimize our capital allocation in renewables while continuing to deploy our Integrated Power strategy.” The company aims to achieve 100 TWh of power generation capacity by 2030, with around 70% from renewable and 30% from flexible generation.
Michel explained that the Shell deal expands TotalEnergies' renewable portfolio in strategic deregulated European markets, while the KKR deal monetizes mature assets to recycle capital and support its Integrated Power growth strategy.
TotalEnergies recently sold its distributed solar business in Europe as it trains lens on large-scale wind and solar assets in the region (see TotalEnergies Exits European Distributed Solar Business).
For Shell, the sale reflects its strategy of actively managing its power portfolio, as announced at the company’s Capital Markets Day 2025. It is directing capital to areas where it sees stronger long-term value. Its target is to invest about $8 billion annually in its Downstream and Renewables & Energy Solutions businesses while reserving $12 billion to $14 billion annually for the Integrated Gas and Upstream segment.
Machteld de Haan, President, Downstream, Renewables and Energy Solutions at Shell, said, “We are recycling capital and prioritising areas where we have differentiated capabilities and can create the most value over time, including through asset-backed power trading and customer-focused energy solutions.”
Recently, Shell sold its entire stake in Solenergi Power, the holding company of Sprng Energy in India, to Aditya Birla Renewables for $1.8 billion (see Shell Sells Sprng Energy To Aditya Birla In $1.8B Deal).
