Danish energy group Ørsted has finalised a deal to sell its equity stake in a 957MW onshore wind farm portfolio in the US to American infrastructure investor Stonepeak.
The $300m transaction increases Orsted’s tax equity funds for the portfolio, previously raised by $700m, to $1bn.
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Stonepeak will receive 80% of the cash distributions from the projects, while Ørsted will operate the portfolio.
The portfolio consists of four wind farms in the states of Illinois, Texas and Kansas.
The wind farms, which are fully operational and supported by power purchase agreements, span the Electric Reliability Council of Texas, the Midcontinent Independent System Operator and the Southwest Power Pool markets.
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The deal is part of Ørsted’s farm-down strategy and its first partnership with the investment company.
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By GlobalDataØrsted holds a unilateral call option over Stonepeak’s interests, which can be exercised under certain conditions post-transaction.
Ørsted executive vice-president and Americas region CEO David Hardy stated: “This deal signifies the value that our US onshore renewable energy projects can deliver to our investors while also demonstrating the holistic and flexible approach we take to partnerships and divestments.
“While Ørsted will continue to operate each asset over its lifetime, we will use this capital to fund projects that continue to create the most value for our stakeholders and fuel our growth in the renewable energy sector.”
The divestment is in line with Ørsted’s broader strategy to reallocate capital towards future projects by selling ownership shares of operational assets.
Stonepeak senior managing director Anthony Borreca stated: “The need for efficient infrastructure with the power to further the energy transition continues to grow, and onshore wind continues to play a major role in helping to meet that demand.
“Ørsted’s US onshore assets are young and have been built with trusted technology, which gives us confidence in their potential to make a meaningful and positive long-term impact on the communities they serve. We look forward to partnering closely with Ørsted on this highly contracted, geographically diverse portfolio.”
In October 2023, Ørsted agreed to sell a 50% stake in the 253MW Gode Wind 3 offshore wind farm in Germany to Glennmont Partners.
The €473m transaction includes both the acquisition price and a pledge to cover half of the construction costs. Gode Wind 3 was secured by Ørsted in 2017 and 2018, and benefits from an average feed-in tariff of €81 per megawatt-hour.
