BENGALURU: BP will buy a 43 percent stake in solar energy company Lightsource for $200 million, the British oil producer said on Friday, marking its return to the solar sector.
The investment, a fraction of the approximately $17 billion BP has spent in 2017, comes six years after BP wrote down billions on its first foray into solar, when its panel manufacturing business struggled with competition from China.
“We’re excited to be coming back to solar, but in a new and very different way,” Chief Executive Bob Dudley said.
London-based Lightsource, to be renamed Lightsource BP, will target the growing demand for large-scale solar projects. The company has a 6 gigawatt (GW) growth pipeline largely focused on the US, India, Europe and the Middle East, BP said. Lightsource has commissioned 1.3 GW of solar capacity to date and manages about 2 GW of capacity under long-term operations and maintenance contracts.
BP will pay $50 million when the deal is completed, with the balance paid in instalments over three years, it said.
Two decades ago, BP had set out to transcend oil, adopting a sunburst logo to convey its plans to pour $8 billion over a decade into renewable technologies, even promising to power its gas stations with the sun.
That transformation — marketed as “Beyond Petroleum” — led to BP manufacturing solar panels in Australia, Spain and the US and erecting wind farms in the US and the Netherlands.
BP, which will have two seats on the Lightsource board, expects the deal to be completed in early 2018. Lightsource was advised by Rothschild, White and Case, Deloitte and Baker & McKenzie.
Other oil majors including Royal Dutch Shell and France’s Total have invested in renewable energy as they prepare for a shift away from fossil fuels in the fight against climate change.
— REUTERS
BP to return to solar market with 43% stake in Lightsource
BP to return to solar market with 43% stake in Lightsource
Saudi POS stays above $4bn as Ramadan spending lifts outlays on home goods
RIYADH: Saudi point-of-sale transactions remained above $4 billion in the week ending Feb. 14, with spending on furniture and home supplies rising ahead of Ramadan, central bank data showed.
Overall POS activity totaled SR15.34 billion ($4.09 billion), representing a 4.8 percent week-on-week decrease, while the number of transactions dipped 1.6 percent to 252 million, according to the Saudi Central Bank.
Spending on furniture and home supplies rose 5.9 percent to SR697.35 million, marking the strongest weekly increase among major retail categories.
Expenditure on electronics increased 2.9 percent, while spending on construction and building materials rose 1.1 percent.
Sectors that saw declines includes freight transport and courier services, which posted a drop of 5 percent to SR64.86 million.
Pharmacy and medical supplies spending fell 8.2 percent to SR223.81 million, but outlays on medical services rose 5.7 percent to SR539.68 million.
Food and beverage expenditure decreased 4.3 percent, but the total spend of SR2.57 billion meant it retained the largest share of POS activity.
Restaurants and cafes followed with SR1.73 billion, despite a 4.7 percent decline. Apparel and clothing outlays represented the third-largest share of POS spending during the monitored week, up 0.5 percent to SR1.38 billion.
The Kingdom’s major urban centers mirrored the mixed national changes. Riyadh, which accounted for the largest share of total POS spending, saw a 3.4 percent drop to SR5.32 billion. The number of transactions in the capital reached 80.7 million, down 0.8 percent week on week.
In Jeddah, transaction values decreased 4.4 percent to SR2.12 billion, while Dammam reported a 3.3 percent decrease to SR746.29 million.
POS data, tracked weekly by SAMA, provides an indicator of consumer spending trends and the ongoing growth of digital payments in Saudi Arabia.
The data also highlights the expanding reach of POS infrastructure, extending beyond major retail hubs to smaller cities and service sectors, supporting broader digital inclusion initiatives.
The growth of digital payment technologies aligns with Saudi Arabia’s Vision 2030 objectives, promoting electronic transactions and contributing to the Kingdom’s broader digital economy.
