Vestas has sold off 12.5 percent ownership in Lake Turkana Wind Power Limited (LTWP) in Kenya to Climate Finance Partnership (CFP) for an undisclosed amount. CFP is managed by BlackRock.
There will be negligible impact on Vesta’s earnings or outlook as a result of the sale. The sale was conducted by the other shareholders of LTWP, the Finnish Fund for Industrial Cooperation Ltd. (Finnfund), and the Danish Investment Fund for Developing Countries (IFU) respectively. IFU and FinnFund also sold their shares to CFP.
The 310 MW LTWP wind farm is the largest in Africa to date and was connected to the national Kenyan grid in 2018. Right from development and construction since 2014, Vestas was a shareholder in LTWP. There are 365 Vestas turbines, each with a capacity of 850 KW, that generate electricity for 1.2 million Kenyan homes. Even after the divestment, Vestas will service the turbines.
Additionally, the LTWP project boosted local employment and also resulted in stronger road infrastructure.
The divestment is aligned to Vestas’ strategy of developing wind farms without assuming long-term ownership.
