en.Wedoany.com Reported - Private equity firm KKR has reached an agreement to acquire the operating businesses and assets of EDF Power Solutions, a subsidiary of French state-owned utility EDF, in Canada and the United States for approximately $4.2 billion, with the potential for an additional payment of up to $390 million.
The sale is subject to necessary regulatory approvals and is expected to close in the second half of 2026. According to EDF Chairman and CEO Bernard Fontana, the transaction is part of the group's portfolio rotation strategy. In a statement, he said the move aims to maximize EDF's financial capacity to implement competitive, low-carbon new solutions across all of the group's operational excellence activities, encompassing nuclear, hydro, and renewable energy.
In North America, EDF has developed 26 GW of wind, solar, and battery storage projects, in addition to electric vehicle charging stations. The company owns and operates a diversified portfolio of solar, wind, and battery storage assets across different regions, and has an integrated platform covering project development, construction, long-term operation and maintenance, and asset management. Its customer base includes electric utilities, private enterprises, and institutions.
Upon taking over, KKR expects EDF Power Solutions North America to gain financial resources and strategic support to expand its asset base, improve operational performance, and accelerate project portfolio development. KKR Managing Director Cecilio Velasco noted that U.S. energy demand is expected to grow due to the rapid expansion of data centers, the reshoring of manufacturing to the U.S., and the advancement of electrification. The investment in EDF Power Solutions North America addresses a critical need for expanding affordable energy supply. The company's scale, operational history, and integrated capabilities, particularly its diversified asset portfolio and project pipeline, position it to meet this demand with a competitive advantage.
KKR has extensive experience in global renewable energy investments, having deployed over $26 billion in energy transition and renewable energy-related projects.
In Brazil, EDF is also advancing its asset recycling strategy. The company has submitted a transaction to the Administrative Council for Economic Defense (Cade) to sell its stake in Jacobina 1 Holding, a company associated with wind power projects in Bahia state, to Vinci Climate Change Master Fundo de Investimento em Participações. In the filing, EDF stated that the transaction aims to optimize capital allocation within its generation portfolio and ensure the financial sustainability of mature projects. The fund, in turn, indicated that the acquisition aligns with its strategy to expand and diversify renewable energy investments in Brazil's power sector.
