BP acquired the remaining 50.03% stake in Lightsource bp, making the renewable energy company a wholly owned subsidiary of BP.
The acquisition, first announced in November 2023, is now finalized, boosting BP’s stance in the onshore renewable energy sector with a 62 gigawatt (GW) pipeline of solar and battery storage initiatives across 19 countries. These efforts underscore BP’s commitment to renewable energy.
Although wholly owned by BP, Lightsource BP will maintain its independent operations and continue offering affordable renewable energy solutions to communities and businesses worldwide.
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Expansion plans
BP intends to seek a strategic partner further to enhance the company’s value and international presence, especially in the context of BP’s renewable energy initiatives.
William Lin, bp’s executive vice president for gas and low-carbon energy said, “This deal creates an engine for onshore renewable power development at bp – combining wind, solar and batteries to generate the energy flows our traders need to optimise value and the electrons our customers want.”
He added, “It also helps us with our own power demand. Ultimately, this capital-light model will help create significant value for bp’s wider operations. We now look forward to welcoming the team into our global business, helping Lightsource bp continue to build on its market-leading position.”
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Lightsource BP’s Operational Model
Lightsource BP employs a model that involves developing, engineering, constructing, and farming models, creating value by selling majority interests in developed assets to strategic partners. This model is central to BP’s renewable energy strategy.
Joaquin Oliveira, Lightsource bp’s group chief executive, added: “I’m excited to begin the next chapter, taking Lightsource bp to a new level of profitability, growth and performance. We will continue to scale this successful business, and also apply its capabilities to support bp’s low carbon energy business.”
The acquisition will help BP achieve its low-carbon objectives by facilitating power trading, electric vehicle (EV) charging, and green hydrogen production requirements.
With the transaction completed, BP has also integrated Lightsource BP’s financial debt and removed an existing guarantee. This acquisition is a significant milestone for BP in the renewable energy sector.