Drax is acquiring ScottishPower’s portfolio of pumped storage, hydro and gas-fired generation from Iberdrola in a £702 million deal.
The deal is part of Drax’s vision for a lower-carbon, lower-cost energy future for the UK.
Will Gardiner, Drax Group CEO, said: “I am excited by the opportunity to acquire this unique and complementary portfolio of flexible, low-carbon and renewable generation assets.
“It’s a critical time in the UK power sector. As the system transitions towards renewable technologies, the demand for flexible, secure energy sources is set to grow.
“We believe there is a compelling logic in our move to add further flexible sources of power to our offering, accelerating our strategic vision to deliver a lower-carbon, lower-cost energy future for the UK.”