Orsted has agreed to sell its remaining 25% minority interest in the London Array offshore wind farm in the United Kingdom. To divest itself of its shares, the company recently signed an agreement with funds managed by Schroders Greencoat, a global asset manager focusing on the renewable energy infrastructure sector. The total value of the transaction is $900 million.
London Array, located about 12 miles off the north Kent coast in the Outer Thames Estuary, has a total installed capacity of 630 MW and began commercial operation in 2013. Orsted originally owned 50% of the project and divested an initial 25% of London Array to CDPQ in 2014. Orsted does not have O&M responsibility at London Array, and as the company only holds a minority interest, it considers the asset non-strategic.
Orsted operates more than 5 GW of capacity in the U.K. and has a development pipeline that includes the 2.8 GW Hornsea 3, the world’s single largest offshore wind farm, and the Hornsea 4 project, which received consent in mid-July.
“We’re very pleased to have found a strong new owner for our remaining minority interest in London Array,” says Orsted CFO Daniel Lerup. “Orsted remains committed to the U.K. offshore wind market and will continue to make significant investments in the country’s green transformation both onshore and offshore.”
The transaction is expected to close at the end of July.
