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Iberdrola is seeking the entry of a strategic partner with a minority stake to boost the development of a portfolio of renewable assets of more than 1,000 megawatts (MW), according to financial sources. Specifically, this portfolio of assets would mainly include photovoltaic projects, but also wind projects, both already in operation and under development.

To this end, the electricity company has hired the investment bank Barclays to sell up to 49% of this portfolio of renewable energy projects in Spain, according to Expansión newspaper on Monday.

The assets are valued at about 500 million euros ($482.50 million). Iberdrola is selling stakes in some of its most advanced renewable projects to raise cash to help finance its E150 billion investment plan for 2020-2030.

This operation would fit within the strategy of the company chaired by Ignacio Sánchez Galán to finance its renewable expansion with minority partners.

Last July, on the occasion of a conference with analysts to present the company's first half-year results, Galán already pointed out the commitment to the strategy of rotating assets in those considered "non-strategic" for the group or "useful" to face the investment in projects, as well as in alliances in areas such as renewables, green hydrogen or the promotion of recharging points.

In a report, Banco Sabadell analysts consider that the search for partners to develop the renewable business by Iberdrola "would be positive" for the group.

The company has a historic investment plan of 150 billion euros by the end of this decade (75 billion euros until 2025), with which it expects to triple its renewable capacity in the world and double its network assets. Iberdrola plans to double its renewable capacity to 60,000 MW by 2025, rising to 95,000 MW by 2030.

Agreements already in Wikinger and East Anglia One

Along the same lines, Iberdrola closed an agreement with Energy Infrastructure Partners (EIP) in the middle of this month for the sale of a 49% stake in the Wikinger offshore wind farm, which the company operates in German waters in the Baltic Sea, for 700 million euros.

This transaction meant the entry of a new partner in the project, in which the energy group will maintain a majority stake of 51%.

Likewise, in August 2019, Iberdrola also signed an agreement with Green Investment Group (GIG), of the Australian group Macquarie, for the sale of a 40% stake in its large offshore wind farm in the United Kingdom, East Anglia One (EAO), for £1.63 billion (about E1.808 billion), thus maintaining a majority stake of 60%.