UAE-US bilateral relations in focus as Masdar closes acquisition of 50% stake in Terra-Gen

The UAE clean energy company Masdar announced on October 1, 2024, the closing of its acquisition of a 50% stake in Terra-Gen, one of the largest independent clean energy producers in the US, from Energy Capital Partners (ECP).

ECP has a proven and established track record in sustainability and decarbonisation infrastructure. The company has fully exited its position in Terra-Gen in connection to the closing of the transaction. Igneo Infrastructure Partners retains its 50% stake.

Masdar’s commitment to the US market reflects the UAE’s strong ties to the country. Just late last month, President HH Sheikh Mohamed bin Zayed embarked on his first official trip to the US after assuming the presidency of the UAE.

Deepening UAE-US bilateral relations in the limelight

His Highness met his US counterpart Joe Biden during the visit. Both leaders affirmed the enduring UAE-US strategic and defence partnership, strengthened areas of deepening cooperation in technology, and discussed global and regional matters.

During the discussions, both parties also pledged to pursue opportunities to improve their partnership, promote stability and peace across the Middle East and beyond, and deliver global leadership on several issues of mutual interest.

Established in 2006, Masdar is committed to advancing clean energy projects across the globe. The latest purchase of a 50% stake in Terra-Gen represents another significant milestone as the company puts in considerable efforts to support the UAE Consensus.

Masdar committed to advancing clean energy projects

HE Dr Sultan al-Jaber, COP28 President and Chairman of Masdar, said: “The UAE and US have long been partners in efforts to advance clean energy, a collaboration culminating in the partnership for accelerating clean energy (Pace) agreement.”

Hailing the finalisation of the deal, Jim Pagano, CEO of Terra-Gen, said: “Masdar is a great partner for Terra-Gen because of our shared focus on developing clean energy projects and our commitment to decarbonisation.”

Representing one of Masdar’s largest transactions, the latest agreement further solidifies the company’s position in the US. Masdar first entered the market in 2019 and has a proven history of funding, developing and operating clean energy projects in the country.