Masdar, the prominent renewable energy firm based in Abu Dhabi, has made a significant advance in its efforts to expand within Europe by finalizing a €368 million agreement with Spanish energy provider Endesa. This transaction ensures the acquisition of 446 megawatts (MW) of operational solar energy across the Iberian Peninsula.
The announcement, made on Thursday, reveals that the UAE-based energy enterprise will obtain a 49.99 percent share in four solar photovoltaic (PV) facilities from Enel Green Power España, which is part of Endesa.
Masdar’s investment framework includes €69 million in equity, complemented by €115 million in financing for the acquisition. This move increases the company’s total operational capacity in the Iberian Peninsula to 3.2 gigawatts (GW), highlighting Spain’s emerging status as a central hub for Masdar’s European operations.
This latest agreement follows a significant milestone achieved in 2024 when Masdar collaborated with Endesa to secure a 49.99 percent interest in 2 GW of solar assets, marking one of the largest renewable energy transactions in Spain in recent years. That earlier agreement also outlined provisions for up to 0.5 GW of battery storage.
“This acquisition aligns perfectly with Masdar’s global mission to enhance our renewable energy capabilities and reinforces our long-term dedication to the European market,” stated Mohamed Jameel Al Ramahi, Masdar’s CEO. “We believe that deepening our alliance with Endesa through this agreement will be fundamental in advancing Spain’s renewable energy landscape. Spain is poised to remain a focal point for Masdar’s operations in the years ahead.”
Flavio Cattaneo, the CEO of Enel Group, commented on the significance of this transaction in the partnership between the two companies. “We are delighted to conclude this agreement, which marks another major step in Enel’s enduring partnership with Masdar. We look forward to cooperating closely to expedite the energy transition,” he remarked.
Increasing Influence in Spain
This transaction comes less than a year after Masdar secured Saeta Yield, a €1.2 billion Iberian renewables platform, boasting a 2.3 GW portfolio and establishing the company’s operational base in the region. The vibrant solar market in Spain, alongside its transparent regulatory environment and ambitious renewable targets, has made it a vital component of Masdar’s strategy for growth in Europe.
For Masdar, which operates under the ownership of TAQA, ADNOC, and Mubadala, this latest acquisition strengthens its global objective of achieving 100 GW of renewable capacity by 2030. The company has already established operations in over 40 countries, covering various energy projects including solar, wind, battery storage, and green hydrogen.
Spain continues to rank as one of the most appealing renewable markets in Europe. Earlier this year, Masdar and Enel Group entered into a memorandum of understanding to pursue renewable energy opportunities in Spain, Italy, and Germany.
The Energy Landscape in Spain
In 2024, renewables accounted for a record 56 percent of Spain’s electricity generation, as reported by the national grid operator Red Eléctrica. Wind and solar energy collectively produced nearly half of this, contributing 22 percent and 21 percent respectively, while nuclear power made up about 20 percent. Fossil fuels represented the remaining 23 percent, highlighting the challenges faced in the country’s energy transition.
This challenge was emphasized in April of this year when a significant blackout affected the Iberian Peninsula, resulting from a series of grid imbalances that left large sections of both Spain and Portugal without power for several hours.