Mitsubishi HC Capital and Brookfield Asset Management have announced an agreement to establish a jointly controlled renewable energy company that will buy and operate a portfolio of contracted operating assets across Europe.
The initial portfolio comprises around 570MW of installed capacity, with an equity value nearing €400m ($461m), and includes wind, solar and battery energy storage assets in Finland, France, Ireland, Spain, Sweden and the UK.
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The assets making up the seed portfolio are secured under long-term power purchase agreements (PPAs), with an average of approximately ten years remaining on their terms.
According to the companies, this contractual structure is designed to produce stable cash flow and income, with resilience across various market cycles.
The new company, structured as a privately held joint venture (JV), is also considering further acquisitions in Europe and Australia.
These potential future purchases would continue the focus on stabilised, operating renewable assets backed by enduring commercial agreements, similar to those underpinning the current portfolio.
Operational management of the JV will be under Brookfield, supported by a management team selected to lead the company.
Brookfield and Mitsubishi HC Capital will jointly govern the JV, with oversight of future asset acquisitions requiring approval from both parties and investment contributions made on a pro rata basis.
The transaction for the seed portfolio was supported by Macquarie Capital and Santander, who served as exclusive financial advisers to Mitsubishi HC Capital and Brookfield, respectively.
Mitsubishi HC Capital Global Environment & Energy Department general manager, senior corporate officer Hayato Shinada said: “This initiative is positioned as a growth investment under the ‘Invest in high-profitability business domains’ of our business portfolio restructuring strategy in our Medium-term Management Plan for FY2026 [fiscal year 2026]–FY2028 (“2028 MTMP”).
“By combining Mitsubishi HC Capital’s financial and investment expertise with Brookfield’s asset management capabilities, we will build and scale our business platform to deliver reliable and sustainable operations.
“In addition, we will leverage expertise in development and operations gained through our broader European renewable energy partners, including European Energy A/S.”
The launch of the JV is pending the completion of required approvals and customary closing conditions, and is anticipated in the second half of 2026.
