Mergers and acquisitions in Brazil’s solar sector up in Q1

The number of M&As in Brazil’s PV solar sector grew by 57% in the first quarter of 2024, compared to the same period last year, according to a survey by Greener.   

The consultancy mapped 11 transactions, five of which were company purchases and sales and six acquisitions of portfolios with distributed generation (DG) and centralized generation (CG) plants.

The deals involved 23 operational plants, 33 under construction and 20 with construction not yet started, totaling 1.3GWp and valued at 1.14bn reais (US$220mn). 

Among the buyers of companies or assets are Citrosuco, Votorantim Cimentos, Atlas Renewable Energy, Athon Energia, Cemig Sim, IVi Energia, I Squared Capital, Trinity, Esfera Energia, Santander Brasil and Energisa. 

The sellers include Auren, Atlas Brasil Energia, Shell Brasil, RGD, UFV Jequitibá II, Trinity, Órigo Energia, Kompass Energia, Volga Energia, América Gestão and Clarke Energia.

See the full report in the Documents box in the top-right corner.

"With the first quarter very hot, the year 2024 could surpass the number of transactions mapped in 2023," Greener wrote. 

Last year, 29 transactions were recorded, compared to 23 in 2022. 

NATIONAL CAPACITY

The amount of solar energy in operation in Brazil has reached the 43GW mark, according to local sector association Absolar. 

From January to May, the solar source added 6GW to the national electricity matrix, including DG (29.2GW installed capacity) and DC (13.8GW).

Currently, solar power accounts for 18.2% of the Brazilian electricity matrix.   

According to the organization, the photovoltaic sector has attracted more than 202bn reais in accumulated investments. 

"The exponential growth of solar energy reflects the popularization and great attractiveness of photovoltaic technology in Brazil, both for consumers in their homes, businesses and rural properties and for the expansion of the national power system with larger plants," Absolar chairman Ronaldo Koloszuk said in a press release.