Bolsters balance sheet as Trump battles offshore projectsPart of pivot back to offshore wind in EuropeComes day after US court lifted freeze on Sunrise WindOrsted continues to own and operate US onshore business<\/p>\n
COPENHAGEN, Feb 3 (Reuters) – Danish wind farm operator Orsted said on Tuesday it had agreed to sell its European onshore renewables business to private equity group Copenhagen Infrastructure Partners for 1.44 billion euros ($1.7 billion) as part of a plan to bolster its finances.<\/p>\n
The disposal is part of broader efforts by Orsted (ORSTED.CO), opens new tab<\/a>, including a $9.4 billion share sale last year<\/a>, to raise cash and stabilise its finances after a crackdown on U.S. offshore wind development projects by President Donald Trump.<\/p>\n Sign up here.<\/a><\/p>\n “The divestment of our European onshore platform finalises the divestment programme that we’ve laid out, and we’ve now substantially strengthened Orsted’s financial position,” Orsted Chief Financial Officer Trond Westlie said in a statement.<\/p>\n Orsted wants to focus on its larger-scale offshore wind business<\/a> in Europe, where significant capacity is expected to be tendered in coming years.<\/p>\n The Danish company’s European onshore renewables business spans onshore wind, solar energy and battery storage projects in Ireland, Britain, Germany and Spain, with 578 megawatts (MW) of operational capacity and 248 MW under construction.<\/p>\n Orsted’s U.S. onshore renewables operations are not part of the deal it has struck with Copenhagen Infrastructure Partners and remain under its control.<\/p>\n SUNRISE WINDA U.S. federal judge on Monday allowed Orsted to resume construction<\/a> on its Sunrise Wind project off New York, on which it has spent or committed more than $7 billion to date, while it challenges stop-work orders imposed by the Trump .<\/p>\n “The focus of investors now will be the successful execution of the remainder of the construction programme, especially in the U.S. given policy headwinds,” said analysts at JPMC.<\/p>\n Orsted said that including the divestment of a 50% stake in the British Hornsea 3 offshore wind project and 55% of Changhua 2 offshore wind farm in Taiwan, it has now signed deals totalling around 46 billion Danish crowns in proceeds, exceeding its target of more than 35 billion crowns.<\/p>\n Analysts had valued Orsted’s European onshore business at around 1.5 billion euros. Shares in the Danish company were down 0.94% at 142.2 Danish crowns at 1046 GMT.<\/p>\n Copenhagen Infrastructure Partners focuses on energy infrastructure investments, including solar photovoltaic, onshore and offshore wind and energy storage projects and has raised a total of 35 billion euros of capital across 13 funds.<\/p>\n Orsted was advised by BNP Paribas and Kromann Reumert.<\/p>\n ($1 = 0.8465 euros)<\/p>\n Reporting by Terje Solsvik and Stine Jacobsen; writing by Nina Chestney; editing by Andrew Heavens and Alexander Smith<\/p>\n Our Standards: The Thomson Reuters Trust Principles., opens new tab<\/a><\/p>\n