TotalEnergies Acquires Shell’s European Onshore Renewables Business

French energy giant TotalEnergies announced 2 key clean energy transactions on Monday, including a deal to acquire Shell’s entire onshore renewables business in Europe, and the sale of a 50% interest in a 1.2 GW onshore solar and wind asset portfolio in Europe to alternative asset and private equity investor KKR.

According to TotalEnergies, the transactions align with the company’s Integrated Power strategy in Europe, focused on selected deregulated markets, and with its business model designed to optimize capital allocation in renewables. The company currently holds more than 37 GW of gross renewable power generation capacity and aims to achieve over 100 TWh of net electricity production by 2030.

Stéphane Michel, President, Gas, Renewables & Power at TotalEnergies, said:

“In line with our strategy, these two transactions enable us to optimize our capital allocation in renewables while continuing to deploy our Integrated Power strategy.”

For Shell, the transaction marks the continuation of a series of divestments from its portfolio of renewable energy assets, following the recent announced sale of its India-based renewable energy platform Sprng to Aditya Birla Renewables. Sprng represented approximately four-fifths of Shell’s renewable energy capacity, which stood at 6.1 GW at the end of 2025.

Shell indicated that the agreement with TotalEnergies will allow the company to recycle capital and focus on areas aligned with its asset-backed trading strategy. Shell announced a new strategy in March 2025 which includes a focus in its Power business on high-grading the portfolio and rebalancing towards flexible generation, with the aim of improving business performance and progressing towards around 10% ROACE by 2030.

The portfolio being sold to TotalEnergies includes 500 MW of solar and wind assets in operation or under construction, mainly located in Italy and the Netherlands, and a 3.5 GW pipeline of solar, wind and battery storage projects in Italy, the UK and Spain.

Machteld de Haan, President, Downstream, Renewables and Energy Solutions at Shell, said:

 “This agreement reflects Shell’s continued focus on actively managing and high-grading its power portfolio in line with the strategy set out at Capital Markets Day 2025. We are recycling capital and prioritising areas where we have differentiated capabilities and can create the most value over time, including through asset-backed power trading and customer-focused energy solutions.”

The transaction with KKR covers a portfolio of assets in Germany, Spain, France and Poland, primarily consisting of 1.2 GW of already developed onshore solar and wind assets.  The portfolio’s enterprise value amounts to €1.8 billion. TotalEnergies will retain a 50% stake in the assets and continue to operate them after completion of the transaction.

Vincent Policard, Co-Head of European Infrastructure at KKR, said:

“This investment reflects our conviction in the long-term fundamentals supporting Europe’s renewable energy sector and the critical role infrastructure will continue to play in the energy transition. We are pleased to complete this new transaction with TotalEnergies and to further expand our investments in Europe.”