BP buys out partner in solar power venture Lightsource BP

British oil giant BP on Thursday announced the completion of the buyout of its partner in the solar power joint venture Lightsource BP, as part of its transition to cleaner sources of energy.

As per the deal, announced in November last year, BP bought the 50.03 per cent promoter stake in LSBP for a total consideration of £400 million ($518 million).

Lightsource BP expands BP’s onshore renewable energy capacity to 62GW, including development pipeline and operations, across 19 global markets.

The acquisition will also provide BP low-carbon energy to meet own demand, including for power trading, EV charging, biofuels and green hydrogen.

William Lin, executive vice president for BP’s gas and low carbon energy, said an expanded onshore renewable power portfolio, which includes wind, solar and batteries, will provide the necessary impetus for BP to increase renewable energy flows.

Lightsource BP, which has BP's Joaquin Oliveira and founder Nick Boyle as co-CEOs, will retain its standalone operating model and independent brand, BP said.

The transaction involved a total payment of £0.4bn by BP, including nearly £0.2bn as pass through of proceeds from previous asset sales. 

With an adjusted £1.5bn debt adjusted for cash, the transaction leaves BP with £2.1billion in net debt. BP expects the debt to be transitional until it brings in a strategic partner.