Ares Management Acquires 49% Stake in $2.9 Billion Diversified U.S. Renewable Energy Portfolio from EDPR
Ares Management Corporation (NYSE: ARES), a global leader in alternative investment management, announced that a fund managed by its Infrastructure Opportunities strategy has acquired a 49% equity stake in a large-scale renewable energy portfolio from EDP Renováveis, S.A. (EDPR). EDPR is one of the world’s foremost developers and operators of renewable energy infrastructure. The total enterprise value of the portfolio is estimated at $2.9 billion, marking one of the most significant renewable infrastructure transactions in the U.S. this year.
The acquisition covers a diversified portfolio of ten renewable energy assets located across four major U.S. power markets. Collectively, the assets deliver 1,632 megawatts (MW) of capacity, consisting of 1,030 MW of solar, 402 MW of wind, and 200 MW of energy storage. The portfolio is fully contracted under long-term Power Purchase Agreements (PPAs) with an average remaining duration of 18 years, providing stable, predictable cash flows and strong downside protection for investors.
A Balanced and Strategic Investment
This transaction aligns with Ares Management’s strategic focus on investing in essential, sustainable infrastructure that supports the global energy transition. By partnering with EDPR, Ares expands its presence across key domestic renewable energy markets while enhancing its exposure to multiple clean energy technologies. The diversification across solar, wind, and battery storage also reflects a growing investor appetite for hybrid portfolios that balance generation with flexible storage solutions.
“This is a landmark investment for our infrastructure strategy,” said Steve Porto, Partner within the Ares Infrastructure Opportunities team. “We are excited to partner with EDPR on a highly contracted and attractive portfolio that aligns perfectly with Ares’ mission to deploy capital into high-quality infrastructure projects. This investment further strengthens our footprint in key U.S. power markets and underscores our commitment to the renewable energy transition.”
The Ares Infrastructure Opportunities strategy focuses on assets that combine long-term stability with potential for operational value creation. In this case, the strong credit quality of the PPAs, combined with EDPR’s track record of operational excellence, made the portfolio particularly appealing. Moreover, the investment complements Ares’ broader portfolio of infrastructure holdings that includes renewable generation, transmission, and storage facilities across North America and Europe.
EDPR’s Strategic Growth and Collaboration
For EDPR, this transaction represents another milestone in its capital rotation program—a strategy designed to recycle capital from mature projects into new development opportunities. By selling a minority stake while retaining operational control, EDPR secures new funding to accelerate its growth pipeline without diluting its core business.
“We value the opportunity to partner with Ares on this transaction, which reflects the strength of our platform and the disciplined growth of our business,” said Sandhya Ganapathy, Chief Executive Officer of EDP Renewables North America. “This collaboration reinforces our ability to deliver long-term value while expanding our presence in key markets across the United States.”
EDPR’s U.S. subsidiary has been a major player in advancing clean energy deployment, with a focus on large-scale solar, onshore wind, and hybrid storage projects. The company’s operational expertise and ability to maintain high plant availability rates are central to the partnership’s success. Through this transaction, EDPR continues to strengthen its balance sheet while retaining a significant role in managing the assets and optimizing their performance over time.
Partnership Synergies and Broader Market Impact
The Ares–EDPR collaboration brings together two highly complementary platforms. EDPR contributes deep technical and operational experience, from project development through asset management, while Ares adds institutional investment strength, access to global capital markets, and a long-term perspective on infrastructure value creation.
This synergy is particularly important as the renewable energy industry undergoes rapid transformation driven by technological innovation, policy support, and rising corporate demand for clean power. The portfolio’s mix of solar, wind, and storage projects positions it well to respond to evolving market dynamics, including increasing grid integration challenges and the need for flexible generation resources.
From a market perspective, the transaction underscores growing investor confidence in the resilience and profitability of renewable assets, even amid global economic uncertainty. It also signals continued momentum in private capital investment into sustainable infrastructure—a trend critical to meeting global net-zero targets.
Expanding Ares’ Renewable Energy Footprint
This acquisition adds substantial scale to Ares Management’s existing renewable energy portfolio. Since September 2024, Ares’ Infrastructure Opportunities strategy has acquired interests in power generation assets totaling approximately 5.7 gigawatts (GW) across 11 U.S. states and five power markets. The addition of the EDPR portfolio significantly enhances this footprint, diversifying Ares’ holdings by geography, technology, and revenue structure.
The deal also highlights Ares’ ability to structure complex transactions that balance yield, risk, and sustainability objectives. Through partnerships with experienced operators like EDPR, Ares continues to demonstrate leadership in deploying institutional capital into the global clean energy economy. The firm’s infrastructure platform now spans investments in renewable generation, energy storage, transmission networks, and other essential systems supporting the low-carbon transition.
A Shared Commitment to the Energy Transition
Both companies emphasized that the transaction is not merely financial but strategic—part of a shared vision to accelerate the global shift toward cleaner, more resilient energy systems. The collaboration leverages EDPR’s proven project execution capabilities and Ares’ deep investment expertise to advance innovation, efficiency, and long-term sustainability across the U.S. energy landscape.
“The energy transition requires collaboration between operators and investors with complementary strengths,” Porto added. “Our partnership with EDPR exemplifies how private capital can play a pivotal role in scaling up renewable infrastructure, creating value for investors, and delivering measurable environmental impact.”
