Case Studies


Sale of Deepwater Wind to Ørsted

TRANSACTION OVERVIEW

  • On October 7, 2018, Ørsted (CSE:ORSTED) A/S acquired 100% equity interest in Rhode Island-based Deepwater Wind from the D.E. Shaw Group at an equity purchase price of $510mm

DEEPWATER WIND OVERVIEW

  • Founded in 2007 and headquartered in Providence, RI, Deepwater Wind is a leading U.S. offshore wind developer, which has built an attractive and geographically diverse portfolio of projects along the U.S. East Coast
  • Deepwater Wind’s portfolio has a total potential capacity of approximately 3.3 GW, composed of:
    – Block Island (30 MW), the only operational offshore wind farm in the U.S.;
    – Three offshore wind development projects in Rhode Island, Connecticut, Maryland, and New York totaling 810 MW of capacity with long-term revenue contracts in place or pending finalization; and
    – Approximately 2.5 GW of offshore wind development potential across three well-sited BOEM (Bureau of Ocean Energy Management) lease areas in Massachusetts and Delaware. Of these 2.5 GW, 1.2 GW is developed through an equal joint venture with PSEG, a leading New Jersey utility

ØRSTED OVERVIEW

  • Ørsted A/S (formerly Dong Energy) is the world’s leading developer of offshore wind farms, headquartered in Denmark
  • Ørsted has installed 5.1 GW of offshore wind capacity in Europe and has an additional 3.8 GW under construction

GREENTECH’S ROLE

  • Greentech served as the exclusive financial advisor to the Board of Deepwater Wind
  • Greentech assisted the Board in its evaluation of strategic alternatives, which resulted in the sale of 100% equity interest

WHAT THE TRANSACTION MEANS FOR THE RENEWABLE ENERGY SECTOR

  • The two companies’ offshore wind assets and organizations will be merged into a leading U.S. offshore wind platform with the most comprehensive geographic coverage and the largest pipeline of development capacity
  • This transaction demonstrates the viability and attractiveness of offshore wind farms in the U.S., and it is likely to serve as a catalyst for further investments into the sector
  • With the combined organization and asset portfolio, Ørsted will be able to deliver clean energy to the seven states on the U.S. East Coast that have already committed to build more than 10 GW of offshore wind capacity by 2030

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