TotalEnergies boosts investment in Brazilian wind energy, solidifying partnership with Casa dos Ventos.
French energy giant TotalEnergies is intensifying its investments in Brazil’s renewable energy sector. The company announced a strategic move that will increase its stake in Casa dos Ventos (CDV) from the current 34% to 49%.
Concurrently, the clean energy generation business that TotalEnergies directly held in the country will be integrated into CDV.
This expansion and consolidation signal a strong commitment to the Brazilian renewable energy market. The operation, formalized on August 31, is now under review by the Administrative Council for Economic Defense (Cade) for approval, a crucial step for the agreements to take effect.
Strengthening Strategic Partnership
The moves unfold through two contracts that deepen the synergy between TotalEnergies‘ renewable assets and Casa dos Ventos‘ expertise. The first contract, an amendment to the Call/Put option agreement, will allow TotalEnergies EP Brasil to acquire an additional minority stake in CDV.
It’s worth remembering that TotalEnergies has been a partner in Casa dos Ventos since 2022, in a transaction valued at approximately R$ 4.2 billion. At that time, Salus Fundo de Investimento em Participações Multiestratégia, representing the Araripe family, held 66% of the company, while the French firm retained the remaining 34%.
Now, TotalEnergies is exercising its purchase option, which will grant it an additional 15% stake.
Integration of Renewable Portfolio
The second agreement, a Share Purchase Agreement (SPA), provides for the transfer of TotalEnergies‘ renewable energy businesses in Brazil to Casa dos Ventos. This transfer covers special purpose entities (SPEs) currently under the control of TotalEnergies‘ renewable arm.
These SPEs are responsible for the development, ownership, and operation of wind and solar energy projects in various regions of the country.
However, it is important to emphasize that this integration is strictly limited to renewable generation assets. Other companies within the TotalEnergies group in Brazil will remain under the group’s control and are not part of this SPA.
The Salus FIP group highlighted in a statement to Cade:
The SPA represents an opportunity to expand our renewable energy production capacity in Brazil.
For TotalEnergies, the amendment to the Call/Put consolidates its investments and increases its stake in Casa dos Ventos, reinforcing its clean energy expansion strategy.
Casa dos Ventos: Expansion and Diversification
This move occurs amid strong activity for Casa dos Ventos. Over the past year, the company has been expanding its portfolio with new energy sale contracts and wind turbine acquisitions.
Additionally, CDV has been advancing in businesses associated with data centers and strategic partnerships.
One example is the self-production energy operation agreed upon with Unipar, which also awaits Cade‘s approval.
This agreement involves the future acquisition of a stake in SPAR II Subholding and the exercise of a purchase option by Unipar in two wind farms in Mato Grosso do Sul.
Unipar, active in the chemical sector, sees the operation as a way to ensure clean and sustainable energy for its production chain, reducing operational costs and its carbon footprint.
For Casa dos Ventos, this and other operations represent new investment and growth opportunities in its renewable energy production portfolio in Brazil.
Cade‘s approval will be decisive for the realization of these plans, which promise to further shape the renewable energy landscape in the country, driving the energy transition and clean energy generation.
