In recent months, Iberdrola has decided to pause the sale of half of its renewable energy assets in the United States, an operation aimed at bringing in a strategic partner and raising more than €5.000 billion. The move, known internally as 'Project Maverick', involved the transfer of 50% of a green energy platform totaling 28.000 megawatts under management across the Atlantic.
This decision is directly influenced by the change in the US administration and the return to an energy policy less favorable to renewables. Renewed support for fossil fuels and skepticism about public subsidies for clean energy projects appear to have cooled the interest of potential international buyers, according to sources close to the deal. Iberdrola, which initiated this process during Joe Biden's presidency, has temporarily frozen talks for the sale of these assets managed through its US subsidiary, Avangrid.
The finance team, led by David Mesonero , believes now is not the right time to continue exploring potential investors. The deal, which had been advised by Lazard and Rothschild banks, was quite advanced before the US elections. In fact, an agreement in principle was reached with a Middle Eastern sovereign wealth fund; however, political uncertainty stalled the final negotiations.
Risks, valuation and key actors
One of the main reasons for seeking this divestment was to reduce the group's debt , a particularly relevant issue since the rise in interest rates in mid-2022. Iberdrola expected to obtain up to €5.000 billion by selling half of Avangrid's assets, valued at around €10.000 billion. However, preliminary offers received from investors such as Masdar (Abu Dhabi), GIC (Singapore), and Norges (Norway) placed the valuation considerably lower, at around €7.000 billion in total. In other words, the sale would generate approximately €3.500 billion, far from initial expectations.
The goal of keeping debt under control is part of the divestment strategy that Ignacio Sánchez Galán, Iberdrola's chairman, had set for the 2024-2026 period: to raise approximately €10.000 billion through the sale of non-strategic assets. Other transactions have already been completed, such as Norges' acquisition of a stake in the renewables portfolio in Spain, the addition of Masdar to the offshore wind sector, and the sale of the smart meter business to Macquarie for over €1.000 billion.
Institutional relations and presence in the United States
Political relations have also played a role. While Galán has repeatedly attempted to approach the Trump administration, these efforts have so far been complex. He recently managed to coincide with the former US president at an event in Doha thanks to the support of the Emir of Qatar, one of Iberdrola's largest individual shareholders.
In a gesture of continuity, the company has repeatedly reiterated its commitment to the United States as one of its main strategic markets. Over the last two decades, Iberdrola has invested nearly $50.000 billion in the country and plans to allocate another $20.000 billion by 2030 to modernize and continue expanding its electricity grid and clean energy generation. The company already has 10.500 MW of operational generation capacity in the US, with a particularly strong presence in Massachusetts.
Iberdrola's management has emphasized that, in contrast to the regulatory changes observed in Spain, the United States continues to offer an attractive legal framework for energy investments. However, things haven't gone entirely smoothly. The acquisition of PNM Resources (valued at approximately €11.000 billion) was blocked by federal court rulings, partly due to information related to past hiring practices and investigations. Political connections and public image, while helpful, were not enough to overturn these decisions.
Given current market conditions and political volatility, Iberdrola has opted to maintain its renewable energy assets in the US, at least until the political and financial landscape is more favorable for attracting new offers that meet its expectations. Although the process is officially on hold, internal sources insist that this is not a definitive abandonment of the sale, but rather a strategic pause.
The evolution of the US energy market and the future direction of federal policy will be decisive in whether Iberdrola reactivates its "Project Maverick." Meanwhile, the Spanish utility continues to invest heavily in growth in the US, both in renewables and in digitalization and grid expansion, while adjusting the pace of its actions to the external circumstances shaping the sector's direction.