Ørsted has wrapped up the previously announced £1.74bn sale of a 12.45% minority stake in four operational UK offshore wind farms to Brookfield Renewable and its affiliates.
Initially announced in October 2024, the agreement involves the Hornsea 1, Hornsea 2, Walney Extension, and Burbo Bank Extension offshore wind farm projects. These facilities have a combined capacity of 3.5GW.
According to Ørsted, the transaction represents a major step in its farm-down programme. This aligns with the company’s February business plan update and ensures strong value retention.
Additionally, the sale provides Brookfield with an opportunity to partner with Ørsted and marks a strategic move for the investment firm’s growth in the offshore wind sector.
Offshore wind complements Brookfield’s existing solar photovoltaic (PV) and onshore wind investments.
Following the transaction, Ørsted retains a 37.55% ownership interest in the four wind farms and continues to exercise control and governance similar to its pre-transaction role.
The Danish energy company will also remain responsible for the operation and maintenance of the assets under existing long-term service agreements. The wind farms operate under inflation-linked contracts for difference (CfDs).
As part of the agreement, Ørsted has a call option enabling it to repurchase the divested stake between two and seven years after the transaction’s closure at a pre-agreed price.
Ørsted’s portfolio includes over 5GW of operational offshore wind capacity in the UK. The portfolio also has an additional 5GW under development or construction, including the Hornsea 3 and Hornsea 4 projects, which have secured CfDs.
Globally, the company has installed 15.4GW of renewable energy capacity across offshore wind, onshore wind, solar PV, and battery storage, with another 7.7GW under construction.
Last month, Ørsted also announced the sale of a 50% equity stake in three US onshore renewable projects to Energy Capital Partners (ECP).
That transaction, valued at $572m, included the 468MW Mockingbird and 250MW Sparta solar projects in Texas, as well as a hybrid solar and battery storage facility, the Eleven Mile Solar Center in Arizona.
