Brookfield to acquire battery storage developer Aypa Power for $7bn

Brookfield Asset Management has agreed to acquire battery storage developer Aypa Power from Blackstone for approximately $7bn including debt, as investors target energy infrastructure expected to benefit from the rapid expansion of AI and data centres.

The transaction values Aypa’s equity at approximately $3bn, according to the companies. The deal confirms an earlier report that Brookfield was in talks to acquire the business from Blackstone Energy Transition Partners.

Aypa develops, owns and operates battery storage facilities and hybrid renewable energy projects across North America. It has 6.5 gigawatts of operating and contracted battery capacity, with a further 20 gigawatts-plus in development.

Around 95% of the company’s portfolio is contracted, with an average remaining contract duration of 17 years, according to the companies.

The transaction includes operating and construction-stage projects, contracted assets, Aypa’s development platform and its workforce of approximately 200 people.

For Blackstone, the exit is expected to generate a 6.2-times multiple on invested capital, according to a report by Bloomberg citing an unnamed person familiar with the matter.

Brookfield is making the investment through its global transition strategy alongside partners including Brookfield Renewable Partners.