Germany's Wpd quits offshore wind after deal with Wall Street investment giant
Global Infrastructure Partners to acquire business spanning Europe and Asia as German developer focuses onshore
German renewables developer Wpd is selling its offshore wind business to Wall Street investment group Global Infrastructure Partners (GIP).
Private equity group GIP agreed to pay an undisclosed sum for Wpd Offshore, which has developed about 7GW and has interests in a 30GW global pipeline.
New York-based GIP, which will take control of a portfolio spanning key markets such as Germany and Taiwan, said with its backing “Wpd Offshore will be able to pursue new projects and opportunities in high growth offshore wind markets”.
Wpd said it would now focus on growing its onshore wind and solar base, which it aims to double to 5GW by 2024. Current Wpd chief operating officer Achim Berge Olsen will become CEO of the new standalone offshore business under GIP.
Wpd was an early mover in the European offshore wind sector with its Baltic 1 project hitting the water in 2010. But its global expansion plans and the huge amounts of capital needed to fund them have been seen as a challenge for the company.
Wpd’s other offshore wind activities include plans in markets as diverse as Japan, France and Romania.
GIP managing partner Adebayo Ogunlesi said: “Wpd offshore has an exceptional development track record and a diversified portfolio of operating, construction and development projects. We believe offshore wind, one of the fastest growing renewables segments, will be critical to the net zero carbon targets and energy transition goals.”
GIP’s other renewable energy interests include the Gode Wind 1 German offshore wind project, Spain’s ACS Renewables and US developer TerraGen Power.
The deal for Wpd Offshore is subject to regulatory approvals.
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