GCTAY - Siemens Gamesa sells European wind portfolio to SSE in $626M deal

Siemens Gamesa (OTCPK:GCTAY) said Tuesday it agreed to sell its European onshore wind portfolio to U.K. energy company SSE (OTCPK:SSEZY) for €580M ($626M). The companies said the deal includes 3.9 GW of onshore wind projects in Spain, France, Italy and Greece and the possibility of developing 1 GW of solar at the same sites. SSE (OTCPK:SSEZY) has pledged to invest £12.5B in clean energy projects to 2026, and has fended off calls from activist investor Elliott Management to spin off its renewables business. Siemens Gamesa (OTCPK:GCTAY), meanwhile, is looking to raise cash and protect its core turbine manufacturing business from the effects of soaring materials and logistics costs. Siemens Gamesa (OTCPK:GCTAY) shares have been sliding since a rotor and three blades fell off one of the company's wind turbines at a wind farm in Denmark.

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Siemens Gamesa sells European wind portfolio to SSE in $626M deal