RES to be 'world's largest renewable energy support services provider' after Ingeteam swoop
UK-based group says its assets under management will double to $38bn following deal
RES Group is buying up the renewables service division of Spain’s Ingeteam in a deal that the company says will make it the largest renewable energy support services provider in the world.
The purchase will see RES more than double the operations and management services and asset management contracts under its supervision, up from 14GW to 35GW.
The UK-headquartered company will also increase the renewables assets under its management from £14bn ($17.7bn) to £30bn ($38bn).
RES will take on 1,600 new staff, bringing it to 4,000 in total, and expand into several new markets. The value of the deal has not been disclosed.
RES, which says it is the world’s largest independent renewable energy company, provides support services across solar, wind, BESS, biomass, green hydrogen and hydropower.
The market for such services is “expanding rapidly,” says RES, as renewable energy companies “scale up operations” as countries try and realise their net zero ambitions. “With this acquisition, RES is well positioned to capitalise on this growth.”
It said the “total addressable market” for support services is set to reach 2400GW by 2030, while the decarbonisation of the energy system will cost almost $2 trillion.
RES said it will also add Ingeteam’s digital capabilities into its existing technology services. “This will allow RES to enhance its cutting-edge digital offer and build on its AI and machine learning capabilities to help maximise the potential of customers’ renewable assets.”
RES CEO Eduardo Medina said that the Ingeteam renewables team will “naturally complement” its existing operations and help the company bring “meaningful benefits to corporates and governments, and society as a whole.”
Adolfo Rebollo, CEO of Spanish business group Ingeteam, said the decision to sell its renewables division enables the company to focus and invest in its “core business area” of developing power conversion technology.
“We will continue supporting our clients towards the electrification of a sustainable future using our technology, including power electronics, control electronics and rotating machines.”
The purchase remains subject to various regulatory approvals.
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