Ares Acquired Stake in California Energy Portfolio

The firm secured an 80% interest in a solar and battery storage project valued at $800 million.

Updated on Sept. 23, 2026 in Energy

Isometric editorial illustration of solar arrays and battery storage units arranged on an arid valley floor. — Ares Management has acquired an 80% stake in a California energy portfolio, a transaction valued at $800 million for renewable infrastructure. AI Illustration. Upload story photo >

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Ares has acquired an 80% stake in a California-based energy portfolio featuring 384 MW of total capacity. The assets, which include 200 MW of solar and 184 MW of battery storage, carry a total valuation of $800 million.

Why it matters

The investment provides capital to infrastructure assets that offer durable, long-term cash flows. These projects are supported by 20-year power purchase and capacity tolling agreements.

The portfolio delivers 384 MW of total capacity, split between 200 MW of solar energy and 184 MW of battery energy storage. Both segments are secured by 20-year contracts.

The players

Ares

Ares is a global alternative investment manager that provides capital to various infrastructure and energy assets.

The details

This transaction was executed through an Ares Infrastructure Equity fund to capitalize on the stability of renewable energy assets. The projects utilize long-term agreements to ensure revenue certainty over the coming two decades.

Ares previously acquired a 49% stake in an EDPR portfolio in 2025.
The acquisition was officially announced on September 23, 2026.

The Big Picture

This story follows a pattern set by the surge in institutional infrastructure investment for renewable energy assets. The move underscores how private capital is increasingly prioritizing projects with guaranteed revenue streams to meet long-term energy goals.

This investment supports the long-term expansion of renewable capacity and battery storage across the state's power grid. Such projects are intended to enhance reliability and provide stable energy delivery for residents and businesses.

The takeaway

Institutional investment in renewable portfolios ensures that large-scale energy projects remain financially viable over decades. These agreements ultimately help stabilize the grid by integrating storage capacity alongside solar generation.