London, 1 August 2023 – RES, the world’s largest independent renewable energy company, today announces it will acquire Ingeteam’s Renewable Service division. This announcement follows the signing of a Sale and Purchase Agreement (SPA) between both parties. Upon completion, RES will have £30bn (€35bn) of assets under management, making it the largest renewable energy support services provider in the world. The company will employ 4,000 people, and operate across 23 countries, while retaining its UK headquarters.
RES will unlock significant synergies following the completion of the acquisition and will have c.35 GW of O&M services and Asset Management contracts around the world, serving the traditional utilities segment and Independent Power Producers as well as infrastructure investors.
Overall, the traditional utilities and infrastructure market is expected to expand significantly, with predicted growth of 9% in the next 5 years.1 RES will provide support services across solar, wind, BESS, biomass, green hydrogen, and hydropower, delivering mission-critical solutions for clients across a wide range of sectors, segments, and geographies.
RES’ industry leading position will accelerate the deployment of renewable projects by reducing cost for customers and supporting national and corporate Net Zero ambitions globally. It is anticipated that RES will deliver on speed and depth of service, leveraging economies of scale and improving inventory management for its customers.
Following the acquisition, RES will integrate Ingeteam’s proprietary digital solutions into its existing technology services. This will allow RES to enhance its cutting-edge digital offer and build on its AI and machine learning capabilities to help maximise the potential of customers’ renewable assets.
This acquisition offers exceptional growth opportunities for new and existing RES employees. The expanded client base includes world-leading customers, embarking on transformational renewable projects. RES’ people will be at the forefront of the global energy transition, developing technological solutions that will continue to drive innovation across the renewable energy sector.
Ingeteam’s disposal of its Renewable Service division aligns with its broader strategy to prioritise development of power conversion technology.
This is an important milestone for the company, which will enable it to consolidate its aim to be a key player in the electrification of society and to commit to the sustainable growth of the organisation. Among other things, Ingeteam will boost spending on R&D and explore opportunities for organic growth. As a result, Ingeteam will offer a more specialised set of solutions to its customers and support the wider electrification of society.
RES’ CEO, Eduardo Medina, said: “We have reached a critical moment for the energy transition. We need innovative solutions to accelerate the pace and scale of renewables build out and servicing. RES will play a key role in driving meaningful progress towards global Net Zero targets by unlocking significant synergies, while building on RES’ existing track-record and expertise across the whole spectrum of renewable technologies. Ingeteam’s services naturally complement RES’ operations and will allow RES to bring meaningful benefits to corporates and governments, and society as a whole.”
Ingeteam’s CEO, Adolfo Rebollo, said: “Our decision to divest our O&M Renewable Service division enables Ingeteam to further focus and invest on our core business area of developing Power Conversion Technology, in line with our corporate strategy. The solid proposal we received from RES aligned with our vision for the business and values. We will continue supporting our clients towards the electrification of a sustainable future using our technology, including power electronics, control electronics and rotating machines.”
The market for support services is expanding rapidly as renewable energy companies scale up operations in support of customers’ Net Zero ambitions. With this acquisition, RES is well positioned to capitalise on this growth. The total addressable market for support services is set to reach ~2400 GW by 2030, 51% of which will be from solar power.2According to IRENA, the energy system decarbonisation will cost an estimated USD $1,930 billion in total – including investment in operation and maintenance – in the most ambitious scenario.3 RES’s scale and specialised services will offer customers and governments best-in-class expertise on a global scale, helping to accelerate the transition to renewable energy while lowering the cost of infrastructure deployment and maintenance.
The completion of the acquisition remains subject to applicable regulatory approvals being obtained in relevant jurisdictions.