UAE`s state-owned renewable energy company Abu Dhabi Future Energy Company (Masdar) is reportedly considering the possibility of acquiring a stake in renewable-energy assets owned by Iberdrola in the US.

The clean energy company is seeking to buy a share of existing Iberdrola onshore clean-energy assets, reported Bloomberg News citing undisclosed sources with knowledge of the matter.

According to the sources, the discussions between Masdar and the Spanish electric utility are at an early stage. It is also likely to not occur a deal between the parties.

Iberdrola has been quoted by Bloomberg News as saying in an emailed statement: “Masdar is an important strategic partner for Iberdrola, but we have not had any official approach from them regarding the potential to acquire any stake in our renewables projects in the US.”

In July last year, Iberdrola agreed to divest a 49% stake in the 476MW Baltic Eagle offshore wind farm located in the German Baltic Sea to Masdar.

The Spanish company will control and manage the German offshore wind farm with a majority stake of 51%.

Besides, both companies agreed to co-invest up to €15bn in offshore wind and green hydrogen projects in Germany, the UK, the US, and other key markets in December last year.

The first step of the partnership is co-investment in the 1.4GW East Anglia 3 offshore wind project in the UK.

Upon the closing of the deal, Masdar will hold an interest of 49% in the East Anglia 3 offshore wind project.

Last month, Iberdrola`s US-based energy services and delivery company Avangrid terminated its previously announced $8.3bn acquisition of PNM Resources owing to regulatory hurdles in New Mexico, US.