DENMARK – The transaction successfully recycles a material amount of capital that will support Ørsted’s ambition to reach 50 GW of installed renewable energy capacity globally by 2030.
Ørsted has announced that they have closed a transaction with Energy Capital Partners (ECP), an energy transition-focused investor, to divest a 50 % ownership stake in a portfolio consisting of three onshore wind farms and one solar farm in the US. The value of the transaction is approx. $410 million.
The portfolio, comprised of the onshore wind farms Lincoln Land Wind, Plum Creek Wind, and Willow Creek Wind as well as the solar farm Muscle Shoals, is diversified across four US states, representing a total capacity of 862 MW. The projects are all operational and have power purchase agreements in place for all or parts of the production capacity. Ørsted will be the managing member of the partnership and will continue to provide asset management services to the projects.
According to Ørsted, this is not only their first farm-down of onshore assets but also the first time Ørsted is divesting multiple assets in one transaction as part of its farm-down program. The transaction successfully recycles a material amount of capital that will support Ørsted’s ambition to reach 50 GW of installed renewable energy capacity globally by 2030. Ørsted currently has a portfolio of over 5 GW of onshore wind and solar PV projects in operation and under construction across the US and Europe.
Source: Ørsted