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Ørsted has agreed with Stonepeak, a leading alternative investment firm specializing in infrastructure and real assets, to divest an equity ownership stake in a portfolio of four US onshore wind farms totaling 957 MW. This marks Ørsted’s first partnership with Stonepeak and its second major divestment of multiple assets in the US as part of its farm-down program.
The transaction is valued at approximately USD 300 million, with Ørsted having previously raised around USD 700 million in tax equity proceeds for the portfolio, totaling approximately USD 1 billion in proceeds. Under the agreement, Stonepeak will receive 80% of the cash distributions from the projects, while Ørsted will continue to operate them.
Ørsted retains a unilateral call option for Stonepeak’s interests post-transaction closure, allowing for potential exercise under specific circumstances. While structured differently, this transaction aligns with Ørsted’s historical farm-down strategy, aiming to recycle and redeploy capital for future projects while retaining operational control and long-term flexibility.
David Hardy, Executive Vice President and CEO of Region Americas at Ørsted said, “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’ll 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.”
Anthony Borreca, Senior Managing Director at Stonepeak added, “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.”
