KKR has agreed to purchase a 50% stake in TotalEnergies’ North American solar assets in a deal valuing the portfolio at $1.25bn, including debt, as private equity capital continues to flow into large-scale renewables, according to a report by Bloomberg. 

TotalEnergies will receive $950m at closing, once refinancing arrangements are finalised. The transaction covers six utility-scale solar projects with a combined 1.3 GW of capacity, along with 41 distributed-generation assets totalling 140 MW.

The move is part of TotalEnergies’ capital recycling strategy, under which it regularly sells half of its developed renewable assets to improve returns while redeploying capital into new projects. Recent disposals include a 50% stake in a Polish biogas platform, half of a 2 GW solar and battery portfolio in Texas, and a partial exit from a UK offshore wind farm.

At the same time, the French group has been adding renewable projects in Britain, Canada, and Germany, reinforcing its goal of making electricity 20% of its total energy sales by the end of the decade.

The deal comes as TotalEnergies grapples with rising leverage, with net debt doubling to $26bn by mid-2025 due to weaker oil prices and petrochemicals markets. The company has scaled back its share buyback programme in response.

For KKR, the acquisition highlights the firm’s continued push into renewable energy infrastructure, adding to its growing global portfolio of solar, wind, and storage investments.

If completed, the deal will mark one of the largest private equity-backed solar transactions in North America this year, underscoring sustained investor appetite for clean energy assets.

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