TotalEnergies to Acquire Shell’s European Renewables Business

TotalEnergies has signed an agreement to acquire Shell’s entire European onshore renewable energy business, while also agreeing to sell separately a 50 percent stake in a separate portfolio of wind and solar assets to United States investment firm KKR, the French energy major announced on Monday.

According to a statement from TotalEnergies, the deal with Shell covers 500 megawatts of solar and wind assets already in operation or under construction, mainly in Italy and the Netherlands, along with a pipeline of 3.5 gigawatts of solar, wind, and battery storage projects across Italy, the United Kingdom, and Spain. TotalEnergies said it will hold 100 per cent of this portfolio once the transaction is completed.

In the separate transaction, TotalEnergies said it will sell 50 per cent of a portfolio of onshore wind and solar assets located in Germany, Spain, France, and Poland to KKR. The company said the deal values the portfolio at 1.8 billion euros, about 2.1 billion dollars. The assets represent approximately 1.2 gigawatts of electricity production. TotalEnergies said it will retain the remaining 50 per cent stake and continue to operate the assets after the sale is completed.

Both transactions are expected to be finalised by the end of 2026, subject to approval from relevant regulatory authorities, TotalEnergies said in its statement.

The moves are part of TotalEnergies’ long-running strategy of divesting up to half of its renewable assets once they reach commercial operation, a model the company says allows it to unlock value from newly commissioned projects while managing financial risk. TotalEnergies has used a similar structure in earlier transactions with KKR, including a 2025 deal covering a 1.4-gigawatt solar portfolio in North America.