BP has bought up full control of solar power developer Lightsource BP in a move demonstrating the former's ambitions outside of fossil fuels.
The oil major announced today that it has acquired 50.03 per cent of the business for an initial fee of Â£254m, adding to the 49.97 per cent it already owned.
BP first took a stake in the company in 2017, expanding the operations to 19 countries from three, built a 61GW development pipeline, and grown to over 1,200 personnel.
This was built to a near-50 per cent holding in December 2019 when the company moniker was added on.
Lightsource bp will remain an independent brand as part of the deal, to be headed up in early 2024 by Joaquin Oliveira, currently BP's senior vice president of finance for gas & low carbon energy.
"This is a natural evolution of the partnership we have built over the past six years - now we will be able to take Lightsource bp to the next level of profitable growth and performance," said BP executive vice president for gas and low-carbon energy, Anja-Isabel-Dotzenrath.
"We will continue to scale this successful business, and also apply its capabilities and expertise to help meet BP's growing demand for low carbon power from our transition growth engines."
Solar accounted for 28.5GW of BP's renewables pipeline as of September 2023, compared to 6.1GW for onshore wind and 9.3GW for offshore wind.
Investors have reacted well to the news, with BP share prices rising around 2.95 per cent to 485.5p today.
The news is a bright spot in a slightly turbulent recent past for the UK oil behemoth, having missed earnings expectations for Q3 this year, returning a 60 per cent year-on-year decline in profits.
By Rhodri Morgan via CityAM
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