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PRINCETON - Clearway Energy, Inc. (NYSE:CWEN, CWEN.A), a $6 billion market cap renewable energy company with a notable 5.9% dividend yield, has entered into a binding agreement to purchase a 613 MWac operational solar portfolio from Deriva Energy, LLC, according to a press release statement issued Monday. According to InvestingPro data, the company has consistently raised its dividend for 5 consecutive years.
The portfolio spans eight states with assets primarily concentrated in the CAISO and PJM markets. For 227 MWac of the portfolio consisting of 12 assets in the Western US, Clearway will establish a 50/50 joint venture with Fengate Asset Management, an existing investment partner.
The transaction, expected to close by the second quarter of 2026, will require a corporate capital investment of approximately $210-230 million after factoring in estimated closing adjustments and proceeds from asset-level financings.
The company projects the acquisition will be immediately accretive with a 5-year annual CAFD yield over 12%, providing an incremental five-year average annual asset CAFD of approximately $27 million beginning January 1, 2027.
"This acquisition leverages our core strength in solar plant operations to generate significantly accretive returns," said Craig Cornelius, Clearway Energy’s President and Chief Executive Officer, in the announcement.
The portfolio has a weighted average contract life of 10 years, aligning with Clearway’s existing fleet. The company indicated it plans to fund the acquisition within its previously disclosed capital allocation framework and does not anticipate requiring incremental equity issuances beyond those already planned.
Clearway Energy currently owns approximately 12 GW of gross capacity across 27 states, including 9.2 GW of wind, solar, and energy storage assets and over 2.8 GW of dispatchable power generation.
In other recent news, Clearway Energy Inc. reported its financial results for the second quarter of 2025, which fell short of analysts’ expectations. The company’s earnings per share (EPS) came in at $0.28, significantly below the anticipated $0.71, marking a negative surprise of 60.56%. Additionally, Clearway Energy’s revenue was reported at $392 million, missing the forecasted $429.91 million. These results were a disappointment for investors and analysts alike. Following the earnings announcement, there was a noticeable reaction in the market. Despite these results, no new information regarding mergers or acquisitions was reported. Analyst firms have not issued any recent upgrades or downgrades for Clearway Energy. These developments are part of the latest updates surrounding the company.
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