Home / Business and Economy / Drax Buys Bluefield Solar for £561M Boost
Drax Buys Bluefield Solar for £561M Boost
1 Jun
Summary
- Drax Group agrees to acquire Bluefield Solar Income Fund for £561 million.
- The deal expands Drax's U.K. renewables business and generation portfolio.
- Acquisition is subject to shareholder approval, expected in Q3 2026.
Drax Group has proposed an all-cash acquisition of Bluefield Solar Income Fund (BSIF) valued at approximately £561 million. This acquisition aims to substantially grow Drax's U.K. renewable energy operations and diversify its generation assets.
The deal is contingent upon approval from BSIF shareholders and meeting other regulatory requirements. Drax anticipates the transaction will be finalized during the third quarter of 2026, pending a shareholder vote where 75% of votes cast must be in favor.
Bluefield Solar Income Fund currently manages around 900 megawatts of operational solar and wind assets across over 200 sites in the U.K. It also possesses a 2.9-gigawatt development pipeline that Drax will evaluate post-acquisition.
BSIF generated approximately £130 million in EBITDA and £118 million in free cash flow from operations for the financial year ending June 30, 2025. Drax expects the transaction to enhance its earnings and financial risk profile through increased contracted revenues.
