Brookfield Renewable has acquired the unregulated commercial renewables business of North Carolina-based Duke Energy Corp., which owns a large onshore wind portfolio, for $2.8 billion, including debt. 

The deal, valued at $1.05 billion in net proceeds for Duke, will expand Canadian-based Brookfield’s portfolio with 3,400 MW of operating and under-construction wind, solar and storage assets.  

Additionally, Duke Energy Renewables has a 6,100 MW development pipeline, positioning Brookfield to capitalize on the growing demand for renewable energy. 

“With this acquisition, we are adding a scale operating renewable platform with a full suite of in-house capabilities and a proven management team experienced in operations and development,” said Brookfield Renewable CEO Connor Teskey. 

Brookfield also said it will launch a bought deal and concurrent private placement, which would raise aggregate equity proceeds of $650 million. The bought deal offerings will be comprised of a combination of limited partnership units and class A exchangeable subordinate voting shares in amounts to be determined by the underwriters. 

The deal is Brookfield’s latest acquisition in the renewables sector, following years of deals for renewable power, including a deal in 2019 to invest in X-Elio, which operated 3GW of solar power at the time of the deal. 

Duke expects to use the proceeds to help strengthen its balance sheet, avoid additional debt and improve grid reliability. 

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