Global asset management firm Brookfield has struck a deal to acquire Aypa Power from Blackstone Energy Transition Partners in a transaction valued at approximately US$7 billion (AU$10.7 billion) in enterprise value, or an equity value of US$3 billion (AU$4.6 billion).
Aypa is North America’s largest standalone battery energy storage platform. The acquisition provides Brookfield with a massive footprint in the rapidly expanding battery energy storage systems (BESS) sector, gaining a developer with roughly 6.5 gigawatts (GW) of operational, under-construction, and contracted capacity, alongside a development pipeline exceeding 20 GW.
Under the agreement, Brookfield will take control of Aypa’s complete project portfolio, development platform, and its 200-strong operational team.
The purchase is being executed through the second vintage of Brookfield’s flagship global transition strategy, in tandem with institutional partners including Brookfield Renewable Partners.
Aypa’s operational portfolio benefits from resilient cash flows, with 95 per cent of its active and under-construction assets secured under long-term power purchase agreements with investment-grade counterparties, carrying an average remaining contract term of 17 years.
Jehangir Vevaina, Chief Investment Officer in Brookfield’s Energy group, highlighted the crucial role of grid-scale storage amidst rising global power demands.
“Battery storage is increasingly critical to the reliability and resilience of today’s energy systems,” Vevaina said.
“Bringing together this leading platform with Brookfield’s broad capabilities across technologies and geographies further strengthens our ability to deliver integrated energy solutions to the world’s largest buyers of power.”
Brookfield will partner with Aypa to accelerate the development of its pipeline by leveraging its operating and development expertise, access to capital, and global supplier and commercial relationships.
Moe Hajabed, CEO of Aypa Power, noted that the company had established storage as essential infrastructure over the past six years under Blackstone’s ownership.
The transaction remains subject to customary regulatory approvals before final completion.