Ørsted Buys 100% Equity in Deepwater Wind for $150 Mn

Post completion of the transaction, the new organization will be named as Ørsted US Offshore Wind.

Danish energy company Ørsted has inked a pact with the D.E. Shaw Group to acquire a 100 percent equity interest in US-based offshore wind developer Deepwater Wind for about USD 510 million.

As per the deal, the two companies’ offshore wind assets and organizations will be merged into the leading US offshore wind platform with the most comprehensive geographic coverage and the largest pipeline of development capacity.

Deepwater Wind has built an attractive and geographically diverse portfolio of projects along the US East Coast. It’s portfolio has a total potential capacity of approx. 3.3GW.

While, Ørsted’s current US offshore wind portfolio has a total capacity of approx. 5.5GW.

With the combined organization and asset portfolio, Ørsted will be able to deliver clean energy to the seven states on the US East Coast that have already committed to build more than 10GW of offshore wind capacity by 2030.

Commenting on the development, Ørsted, CEO of Offshore Wind, Martin Neubert said, “With this transaction we’re creating the number one offshore wind platform in North America, merging the best of two worlds: Deepwater Wind’s longstanding expertise in originating, developing and permitting offshore wind projects in the US, and Ørsted’s unparalleled track-record in engineering, constructing, and operating large-scale offshore wind farms.”

Post completion of the transaction, the new organization will be named as Ørsted US Offshore Wind.

Meanwhile, the transaction is subject to clearance by the US competition authorities and is expected to close by end of 2018.