TotalEnergies to form flexible power JV with EPH in EUR 5.1B deal

TotalEnergies (TTE) announces the signing of an agreement with Energeticky a prumyslovy holding, a.s. for the acquisition of 50% of its flexible power generation platform in Western Europe, valued at EUR 10.6B, i.e. a multiple of 7.6x 2026 EBITDA. Under the agreement, EPH will receive the equivalent of EUR 5.1B in TotalEnergies shares. 95.4 million TotalEnergies shares will be issued, based on a price equal to the volume-weighted average share price of the twenty trading sessions preceding November 16th, i.e. EUR 53.94 per share, representing about 4.1% of TotalEnergies’ share capital and making EPH one of the company’s largest shareholders upon completion of the transaction. The transaction will result in the creation of a joint venture owned 50/50 by TotalEnergies and EPH, which will be responsible for the industrial management of the assets and the business development, while each company will market its share of production under a tolling arrangement with the joint venture. The transaction covers a portfolio of more than 14 GW gross capacity of flexible generation assets in operation or under construction. The transaction is immediately accretive to TotalEnergies’ shareholders, the company said. Due to this accelerated inorganic growth within the Integrated Power segment, the Company is lowering its annual net Capex guidance by $1B per year to $14B-$16B per year for 2026-2030, of which $2B-$3B is for Integrated Power, while maintaining its 2030 electricity generation target of 100-120 TWh.