BBVA Advises China Three Gorges on the Acquisition of NCP Mula Solar

BBVA Corporate & Investment Banking (CIB) has acted as Exclusive Financial Advisor to China Three Gorges (CTG) in the acquisition of NCP Mula Solar, one of the largest solar plants in Europe with an installed capacity of 493.7 MWp.

BBVA has advised China Three Gorges, a leading clean energy provider in China, on the acquisition of NCP Mula Solar from Northleaf (81%) and Qualitas Energy (19%).

The solar plant is located in Mula, Murcia, in southeastern Spain—one of the regions with the highest levels of solar irradiation in Spain and southern Europe. The plant benefits from a long-term contracted revenue profile, supported by a Power Purchase Agreement (PPA) with an investment-grade credit rating international counterparty as offtaker. It has an estimated annual production of 800 GWh, representing approximately 35% of the total photovoltaic solar production in the region. These attributes position the plant as a key market driver for ancillary services revenue.

This acquisition, which will serve as CTG’s flagship project in Europe, enables the company to achieve critical mass and economies of scale in Spain, where it already has a significant presence with approximately 1.9 GW of operational renewable capacity. Furthermore, this milestone transaction comes just months after the latest collaboration with China Three Gorges International Ltd., CTG’s primary overseas investment platform, following the signing of a new green loan in September of last year.

Alfredo Mellon, Managing Director responsible for Energy M&A at BBVA, remarked:"With this transaction comprising one of the most sizeable and exceptional renewable assets in Spain, we reinforce our position as a leading advisor in energy-related M&A, having advised in some of the most significant transactions over the last few years. BBVA Corporate & Investment Banking’s unique cross-border M&A execution capabilities allow us to attract foreign capital and have been essential to successfully completing this complex operation."

Sustainable Financing at BBVA

As part of its commitment to combating climate change, BBVA has set a target to mobilize €300 billion in green financing, sustainable infrastructure, social entrepreneurship, and financial inclusion. According to its latest results, BBVA CIB channeled approximately €37 billion into sustainable business activities between January and September 2024, marking a 38% increase compared to the same period the previous year.

With this latest transaction involving CTG, BBVA continues to drive the financing of renewable energy projects, staying true to its goal of supporting clients in building a more equitable and resilient world in the face of climate change challenges.