Iberdrola Completes US$6.2 Billion Sale of Electricity Assets

Iberdrola, the Spanish energy company, finalized the sale of its electricity generation assets in Mexico to the Mexican government for US$6.2 billion. The transaction involves the sale of 13 power generation plants with a combined installed capacity of 8,539MW. The sale was carried out in accordance with the terms agreed upon in June of last year and aligns with Iberdrola's commitment to decarbonization. 

These assets represent approximately 55% of Iberdrola Mexico's gross operating profit (EBITDA) for 2023. The deal was closed after receiving approval from the Federal Economic Competition Commission (COFECE) and meeting other agreed-upon conditions. The assets sold include 12 combined cycle generation plants and a wind farm in Mexico. The sale does not affect Iberdrola's 15 remaining plants, private client operations, or its portfolio of renewable energy projects in the country. 

The transaction was announced by President Andrés Manuel López Obrador, who emphasized the importance of preventing CFE from monopolizing the electricity generation sector. Iberdrola stated that the deal was closed as planned and is part of the company's strategy to fulfill its decarbonization commitments.