Norway's sovereign wealth fund, the world's largest, raised the size of the portfolio of Iberdrola's renewable power plants it wants to invest in to 1 gigawatt, Cinco Dias newspaper reported on Tuesday without specifying its sources.
The Spanish power utility Iberdrola and the fund had said in May they were negotiating the sale of a 49% stake in a portfolio of onshore wind farms and solar power plants with a 500 megawatt capacity following a similar deal over 1.3 gigawatts sealed in January for 600 million euros.
The new deal would include assets in Spain and Portugal, Cinco Dias reported.
With its sunny plains, heavily dammed rivers and wind-swept hills, Spain is attracting investors to renewable energy projects as the government seeks to meet its targets on reducing greenhouse gas emissions by 2030.
Local energy companies such as Iberdrola or Repsol have been raising cash to invest in new projects by selling stakes in more advanced ones.
Norges Bank Investment Management (NBIM), which operates the fund, declined to comment, while Iberdrola did not return messages seeking comment. (Reporting by Inti Landauro and Nora Buli Editing by Peter Graff)