Norway's sovereign wealth fund is planning to invest in 1 GW of Spanish utility giant Iberdrola’s renewables plants in Spain and Portugal, Reuters reported this week, citing sources that spoke to Cinco Dias newspaper. The sovereign fund was initially negotiating to buy a 49% stake in a portfolio of onshore wind farms and solar power plants with a 500 MW capacity. This will be the second major investment the fund is making in Iberdrola this year, after it purchased 49% of a 1.3 GW portfolio of solar and wind farms in January for EUR 600 mn. Iberdrola has been raising cash to invest in new projects by selling stakes in more advanced ones. Norges Bank Investment Management operates the fund.

REMEMBER– UAE’s Masdar entered a similar agreement and acquired a 49% stake in Iberdrola’s EUR 1.6 bn Baltic Eagle offshore wind farm off the coast of Germany last July.

OTHER STORIES WORTH KNOWING ABOUT THIS MORNING-

• USD 1 bn climate fund to be formed by major investors: Former US president Bill Clinton and co-founder of autonomous driving tech firm Mobileye Ziv Aviram are launching a USD 1 bn climate fund. Bn’aires Itai Lemberger and Robert Citrone — founders of Bow Wave Capital Management and Discovery Capital Management respectively — are also amongst the fund’s founders. (Bloomberg)
• Hyundai funds sustainable mobility development: Hyundai Motor Group will invest USD 12 bn in EV manufacturing and battery production after signing MoU with Georgia Tech to develop sustainable mobility and a hydrogen economy. (Statement)