5 Top Renewable Energy Deals of 2014

Though many predicted that cleantech would meet its demise in 2014, M&A activity in the renewable energy sector suggests otherwise.
In its “Power & Renewables Deals: 2015 Outlook and 2014 Review” report, PwC states that “global megatrends such as technological shifts, policy moves to encourage clean energy and the changing world economic power balance are becoming increasingly reflected in the power sector M&A activity.” That certainly seems to be true, as there were five important renewable energy deals in 2014.

5 top renewable energy deals of 2014

The largest renewable energy deal of 2014 occurred on November 17, when First Wind Holdings was acquired by SunEdison (NYSE:SUNE) and TerraForm Power (NASDAQ:TERP) for $2.372 billion. The second-largest was a $1.587-billion deal between India’s Himachal Baspa Power and JSW Steel (NSE:JSWSTEEL) in September; in that case, the former was acquired by the latter.

Major deals in regional context

India and China led the Asia Pacific region’s deals in the renewable energy sector in 2014, with both India and China seeing billion-plus deals. These deals, which were for hydropower and biomass-generation assets, illustrate the exciting developments taking place in these growing markets.
Meanwhile, renewable energy deal activity dropped in Europe last year. PwC states that the number of deals for European targets decreased by 7 percent compared to the previous year, while target deal value fell even more, by 13 percent.