Duke Energy has reached an agreement to sell its unregulated utility-scale commercial renewables business to Brookfield Renewable at an enterprise value of approximately $2.8 billion, including non-controlling tax equity interests and the assumption of debt.

Brookfield Renewable operates one of the world's largest publicly traded, pure-play renewable power platforms.

Investors can access its portfolio either through Brookfield Renewable Partners, a Bermuda-based limited partnership, or Brookfield Renewable, a Canadian corporation.

Duke Energy said its expected net proceeds from this transaction of approximately $1.1 billion, subject to certain adjustments.

The sale agreement for the commercial renewables business platform includes more than 3,400 megawatts of utility-scale solar, wind and battery storage across the United States, net of joint venture partners’ ownership, in addition to operations, new project development and projects under construction.

The primary operations of the commercial renewables business will remain in Charlotte, North Carolina. Duke Energy employees that support the business will transition over to Brookfield to maintain business continuity for its operations and customers.

"With this acquisition, we are adding a scale operating renewable platform with a full suite of in-house capabilities and a proven management team experienced in operations and development," said Connor Teskey, chief executive of Brookfield Renewable.

"We are also adding to our pipeline of renewable development projects, solidifying our position as one of the largest renewable energy businesses in the US with almost 90,000MW of operating and development assets."

The sale is subject to customary closing conditions being fulfilled, including regulatory approval by the US Federal Energy Regulatory Commission and the expiration of the waiting period under the Hart-Scott-Rodino Act.

It is expected to close by the end of 2023.