- Ørsted sells 50% of its 2.9 GW Hornsea 3 Offshore Wind Farm to Apollo for approx. DKK 39 billion.
- Apollo commits to fund 50% of EPC contract payments for the wind farm and offshore transmission asset.
- Approx. DKK 20 billion will be paid upon closing, with the rest upon construction milestones.
- The transaction is expected to close by year-end, subject to regulatory approvals.
Transaction Overview
Ørsted has agreed to sell a 50% equity stake in its 2.9 GW Hornsea 3 Offshore Wind Farm in the UK to Apollo-managed funds. The transaction is valued at approximately DKK 39 billion and is a significant step in Ørsted’s funding strategy, focusing on capital management and partnership objectives.
Financial Details
The deal includes Apollo's commitment to fund 50% of the payments under the EPC contract for the wind farm and the offshore transmission asset. Approximately DKK 20 billion of the transaction value will be paid upon closing, split between a share purchase agreement price of around DKK 10 billion and an initial construction payment of DKK 10 billion. The remaining amount will be paid upon achieving certain construction milestones.
Project and Timeline
Subject to customary regulatory approvals, the transaction is expected to close before the end of the year. Ørsted will construct the Hornsea 3 project under a full-scope EPC contract and provide long-term operations and maintenance services. The project is progressing on schedule for both onshore and offshore activities.
Impact and Future Plans
The transaction does not alter Ørsted’s previous EBITDA guidance for 2025 or the expected gross investment level for the year. Once operational, Hornsea 3 will generate enough electricity to power over 3 million UK homes, contributing significantly to the UK's renewable energy goals. Located 160 km off the Yorkshire coast, Hornsea 3 will be part of Ørsted’s Hornsea zone, which will have a total capacity exceeding 5 GW, making it the world’s largest operating offshore wind zone.
