TotalEnergies To Buy SunPower's CIS Arm For $250 Mln

(RTTNews) - French oil and gas company, TotalEnergies (TTE), said on Thursday that it has signed a deal with SunPower Corp.'s (SPWR), to purchase its Commercial, Industrial Solutions or CIS business, for $250 million, including $60 million milestone payment.

The move allows TotalEnergies' to develop its distributed generation business, currently accounting to close to 500 MW in operation worldwide.

It will also support the French company to extend its distributed generation business footprint to the US and to develop over 100 MW of additional capacity per year.

The transaction is expected to close early second quarter and not expected to reduce TotalEnergies' majority ownership stake of 50.83 percent in SunPower, a solar technology and energy services provider.

"Beyond, this activity will also create synergies with TotalEnergies' large-scale solar energy portfolio in the US and enable B2B customers to benefit from more comprehensive energy solutions and new capabilities in financing and project ownership," acquirer said in a statement.