Canada Pension Plan Investment Board’s (CPP Investments) wholly owned subsidiary, CPP Investment Board Europe, has reached an agreement with Enbridge Inc. to acquire 49% of the entity that holds Enbridge’s stake in Éolien Maritime France SAS, Enbridge’s partnership with EDF Renewables.
The partnership is developing three offshore wind farms in France. CPP Investments will pay approximately €80 million for its stake, with an additional €120 million committed to follow-on investment as the first project progresses through construction. CPP Investments could make additional investments of more than €150 million in the two additional offshore wind farms.
The offshore wind projects are located in Loire-Atlantique (Saint-Nazaire), Seine-Maritime (Fécamp) and Calvados (Courseulles-sur-Mer), with a planned total-installed capacity of approximately 1.5 GW. The Saint-Nazaire project is currently under construction, while Fécamp and Courseulles-sur-Mer are well advanced in terms of development. The wind farms are expected to become operational in phases between 2022 and 2024.
“France has established renewables as a cornerstone of its long-term energy plan and this partnership with Enbridge represents significant opportunities to invest in – and develop – flagship offshore wind projects across France,” says Bruce Hogg, managing director and head of power and renewables at CPP Investments.
“This investment will provide additional diversification to our existing portfolio of assets and deepen our access to future high-quality offshore wind development projects in Europe and Asia,” he adds.
Closing of the transaction is subject to customary regulatory approvals and is expected to occur in the fourth quarter.
Photo: CPP Investment’s ocean projects map