French energy company EDF has entered into a binding agreement to sell its renewable energy businesses in the United States and Canada to private equity firm KKR, in a transaction covering a combined portfolio of 5.6 gigawatts of energy capacity, as reported by EnergyWatch.

EnergyWatch reported that the deal covers two entities, EDF Power Solutions in the US and EDF Power Solutions Canada, but the statement from EDF does not disclose the financial terms of the transaction. KKR is acquiring both businesses for an undisclosed sum.

Bloomberg News had previously reported that EDF was in negotiations to sell its North American business to LS Power LLC for more than $4.6 billion (approximately €4.24 billion), but EnergyWatch confirmed that deal will not proceed.

The divestment of EDF's North American renewables arm reflects a broader strategic repositioning by the French state-owned utility, which has been under pressure to strengthen its balance sheet while managing a large domestic nuclear investment programme, including the development of new reactors in France and the ongoing extension of its UK nuclear fleet.

KKR has been active in European and North American energy infrastructure in recent months. The firm is also part of the consortium in advanced discussions to acquire Irish energy distributor DCC in a deal valued at more than £5 billion (approximately €5.8 billion), underscoring its appetite for large-scale energy asset acquisition across multiple markets.

The 5.6GW portfolio held by EDF Power Solutions and EDF Power Solutions Canada spans renewable generation assets across the two countries. No further breakdown of the portfolio by technology or geography was provided in EDF's announcement.

The transaction is subject to customary regulatory approvals. No completion timeline has been disclosed by either party.

The deal adds to a growing trend of major European utilities divesting non-core or geographically peripheral renewable assets as they concentrate capital on domestic energy transition priorities and restructure for long-term financial resilience.