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Energy · Profile from Energy Research Companion

Iberdrola

The Bilbao-registered, Madrid-run Spanish utility that became Europe's largest power company by market value (reported, verify current ranking) by betting early on wind (from 2001), buying regulated networks in Britain (ScottishPower, 2007) and the US northeast (Energy East, 2008; UIL, 2015, which together became Avangrid), and then, from 2023, turning most of its investment toward wires in the US and UK. In the US, Avangrid owns eight regulated utilities in New York, Maine, Connecticut and Massachusetts (~3.3m electricity and gas customers, company, verify), one of the largest US onshore wind and solar fleets, the Vineyard Wind 1 offshore project (~806 MW, 50% with Copenhagen Infrastructure Partners) and the New England Clean Energy Connect transmission line from Québec. Iberdrola took Avangrid fully private in December 2024 at $35.75 a share (~$2.55bn for the 18.4% it did not own). Its failures are as instructive as its wins: New Mexico regulators refused its takeover of PNM Resources (2021); Maine voters tried to kill its Québec line (2021); a GE Haliade-X blade broke at Vineyard Wind (July 2024); and offshore contracts signed before the 2022 cost shock had to be cancelled at a loss. Its story is the shift from early renewables scale to regulated networks as the engine of a utility's growth.

At a glance

Founded
Nov 1992 (verify month), by merger of Iberduero (Bilbao, roots 1901) and Hidroeléctrica Española (Madrid, 1907)
Headquarters
Registered in Bilbao; operational headquarters in Madrid (Torre Iberdrola in Bilbao is the corporate seat)
Ownership / structure
Listed (BME: IBE), widely held; Qatar Investment Authority the largest shareholder at ~8–9% (reported, verify); after a €5bn share issue in Jul 2025 the free float rose. Subsidiaries: Iberdrola España; ScottishPower (UK); Avangrid (US, 100% since 23 Dec 2024); Neoenergia (Brazil, majority-owned); Iberdrola Mexico sold in two steps (2024 and Apr 2026)
Leadership (2026)
Ignacio Sánchez Galán (executive chairman; CEO from 2001, chairman from 2006); Armando Martínez (CEO from Oct 2022, verify 2026 role); Pedro Azagra (Avangrid CEO, verify)
Segments
Networks (distribution and transmission in Spain, UK, US, Brazil); Renewables and storage (onshore and offshore wind, solar, hydro and pumped storage); Generation and retail (Spain, UK, Portugal, Germany, France, Italy, Mexico until 2026)
Scale
9M 2026: reported net profit ~€5.82bn (+9.6%), adjusted ~€5.14bn (+8.8%), including a ~€953m gain on the Mexico sale in reported profit; networks adjusted EBITDA ~€6.43bn (+14.9%); investment ~€10.1bn (+13%); liquidity ~€23bn (company, 21 Oct 2026). 2024 net profit ~€5.6bn (record, reported). Installed capacity ~55 GW, of which ~45 GW renewables (2025, company, verify)
Signature moves (incl. failures)
Galán's wind bet (2001–07); ScottishPower (2007); Energy East and the formation of Avangrid (2008–15); PNM merger blocked (2021–23); NECEC and the Maine referendum (2021–26); Vineyard Wind 1 and the blade failure (2024); the Avangrid buy-in (2024); Electricity North West and the networks pivot (2024); the 2025 capital raise and the Mexico exit (2025–26)

9 strategic moves analysed

Each one gets a full strategy file in the companion: context, the decision, the financing, what happened, and the lesson.

  1. 2001

    Galan and the Wind Bet

    Strategy pivot / technology bet; later spin-off (Iberdrola Renovables IPO, Dec 2007) and buy-back (2011)

  2. 2007

    ScottishPower Acquisition

    Acquisition (agreed takeover)

  3. 2008

    Energy East and the Avangrid Formation

    Acquisition (US entry), then merger and listing

  4. 2020

    PNM Merger Blocked

    Acquisition (failed) / regulatory action

  5. 2021

    NECEC and the Maine Referendum

    Construction of a merchant-contracted transmission line / licence-to-operate fight

  6. 2024

    Avangrid Buy In

    Acquisition of minorities / take-private (merger of a controlled subsidiary)

  7. 2024

    Electricity North West and the Networks Pivot

    Acquisition / strategy pivot (from renewables-led to networks-led growth)

  8. 2024

    Vineyard Wind 1 and the Blade Failure

    Construction and commissioning / accident / failure (incl. the 2023 Commonwealth Wind cancellation)

  9. 2025

    Capital Raise and Mexico Exit

    Financing (accelerated equity issue) / divestment (Mexico) / strategy plan