Spanish energy company Cox has agreed to acquire Iberdrola’s Mexico business in a €3.6 billion, about $4.2 billion, transaction backed by Goldman Sachs and a seven bank syndicate, positioning the company as a major player in Mexico’s electricity market. The deal adds more than 2.6GW of installed capacity across 15 generation plants and includes the integration of roughly 700 employees to maintain operations and support expansion.
The financing structure includes Goldman Sachs acting as both lender and managing partner, contributing €200 million in equity alongside a syndicated loan. Other participating institutions include Citi, Barclays, Deutsche Bank, Santander, BBVA, and Bank of Nova Scotia. Cox had previously secured about $2.65 billion in financing for the acquisition earlier this year.
The assets being acquired span six wind farms, three photovoltaic parks, and six cogeneration and combined cycle plants across 12 Mexican states. The acquisition follows Iberdrola’s decision to exit the Mexican market and refocus on the United States and the United Kingdom.
Cox’s move aligns with Mexico’s evolving energy framework under Plan México, which requires the state utility CFE to maintain a 54 percent share of national power generation while allowing private participation in regulated and contracted assets. The company views this structure as providing sufficient certainty for long term investment.
Financially, Cox has been expanding from a position of strength. The company reported €69 million in net profit for 2025, with revenue rising 62 percent year over year to €1.14 billion. EBITDA increased 23 percent to €225 million, while operating cash flow reached €127 million. Growth has been driven by its dual model combining infrastructure investments through its Asset Co. division and engineering and operational services through its Service Co. division.
Mexico represents a central pillar of Cox’s long term strategy, accounting for more than half of its global investment commitments. The company plans to invest an additional $6 billion in the country through 2030, targeting both energy generation and water infrastructure projects.
Beyond Mexico, Cox has continued to expand internationally with investments in solar, wind, desalination, and water infrastructure projects across Panama, Morocco, Angola, Ecuador, and Brazil. These efforts support its positioning as an integrated water and energy utility focused on assets that generate predictable cash flow and meet long term infrastructure demand.
KEY QUOTE:
“This transaction is transformational for the Company, elevating Cox to a new level in terms of size and strategic positioning, and consolidating it as an integrated utility with solid and recognized leadership in the Mexican electricity market.”
Enrique Riquelme, Executive Chairman, Cox
