Equinor buys minority stake in Ørsted
Norwegian energy major Equinor has become the largest shareholder in Ørsted A/S after the Danish state following an acquisition of a 9.8 per cent minority stake in the offshore wind specialist.
“Equinor has a long-term perspective and will be a supportive owner in Ørsted. This is a counter-cyclical investment in a leading developer, and a premium portfolio of operating offshore wind assets. The exposure to producing assets complements Equinor’s operated offshore wind portfolio of large projects under development”, says Anders Opedal, CEO of Equinor.
The current market value of Equinor’s holding in Ørsted is around $2.5 billion, the company said. Subject to obtaining regulatory approvals under applicable Foreign Direct Investment regulations, Equinor intends to increase its ownership to 10 per cent, without plans to increase the stake any further.
Equinor said it is not seeking board representation in Ørsted with the investment. It is rather a step in line with its strategy of value-driven growth in renewables. “The offshore wind industry is currently facing a set of challenges, but we remain confident in the long-term outlook for the sector, and the crucial role offshore wind will play in the energy transition”, says Opedal.
Ørsted has a net renewable generation capacity of around 10.4 GW, and a gross portfolio of offshore wind projects in execution of around 7 GW. The company’s ambition is to achieve a gross installed renewable capacity of around 35 to 38 GW by 2030.
Ørsted has a net renewable generation capacity of around 10.4 GW, and a gross portfolio of offshore wind projects in execution of around 7 GW. The company’s ambition is to achieve a gross installed renewable capacity of around 35 to 38 GW by 2030.
