EDP seals California hybrid stake sale, recycles capital for growth

• EDP closed the sale of a 49% stake in a California solar-plus-storage portfolio—about 300 MWac of PV and 92 MW of batteries—for roughly EUR 600 million enterprise value.

EDP has wrapped up a minority sell-down of one of its marquee U.S. hybrid assets, closing the sale of a 49% stake in a California solar-plus-storage portfolio at an enterprise value of around EUR 600 million (USD ~705 million). The transaction, flagged as part of EDP’s “asset rotation” strategy, allows the company to lock in returns and recycle capital into its build-out while retaining majority control of day-to-day operations.

The portfolio centers on the Sandrini Solar Energy Park in Kern County—two utility-scale plants, Sandrini I and II, totaling about 300 MWac (roughly 406 MWdc), paired with a 92-MW battery system now moving toward full operation. The projects sit near existing transmission and use modern single-axis trackers and high-efficiency modules to maximize yield in the San Joaquin Valley’s strong resource.

Today’s closing follows a previously announced agreement with Eni’s renewables arm, Plenitude, to acquire the 49% interest in the two operating PV plants and the co-located storage asset. While EDP’s brief closing note did not name the buyer, earlier disclosures by both companies outlined Plenitude’s entry into the partnership. For Plenitude, the deal expands a U.S. footprint that increasingly favors co-located batteries to shift midday solar into evening peaks and to capture ancillary-service revenues.

Commercially, Sandrini’s offtake is anchored by Shell Energy North America and the Redwood Coast Energy Authority—contracts that provide revenue certainty and community credentials. The 92-MW battery (designed for multi-hour duration) is expected to reduce curtailment risk and improve dispatchability, a growing priority on California’s solar-heavy grid.

Strategically, the sell-down fits EDP’s long-running model: develop, de-risk, then syndicate minority stakes to institutional partners, freeing up balance-sheet capacity for the next wave of builds. With manufacturing prices volatile and interconnection queues tight, that discipline can be the difference between an ambitious pipeline and steel in the ground. Expect proceeds to be steered toward U.S. and Iberian hybrids, where batteries increasingly define project bankability and system value.