Nov 4, 2025
Orsted has sold a 50% interest in a UK wind farm to Apollo for $6 billion.
Denmark's Orsted announced on Monday that it has agreed to sell a 50% stake in the UK's Hornsea 3 offshore wind farm for approximately 39 billion Danish crowns ($6.09 billion), a strategic move to avoid a significant credit rating downgrade.
As the largest offshore wind developer globally, Orsted is working to regain investor confidence amid rising costs due to supply chain issues and inflation, alongside uncertainty from former U.S. President Donald Trump's stance on renewable energy.
The stake in the £8.5 billion ($11.41 billion) project was sold to Apollo Global Management, a New York-listed firm managing over $800 billion in assets, leaving Orsted with an equal 50% share.
Orsted stated that the transaction is a significant step in its funding strategy, aligning its partnership and divestment goals with a focus on capital management.
Apollo's investment includes a 50% stake and a promise to cover 50% of the remaining construction costs.
In October, Orsted raised $9.4 billion through a heavily discounted rights issue to strengthen its balance sheet and later revealed plans to reduce about a quarter of its workforce by the end of 2027. Shares closed at 115 Danish crowns on Monday, reflecting an 85% decline from their peak in 2021.
The 2.9-gigawatt Hornsea 3 project, anticipated to become the largest offshore wind farm in the world upon its completion in 2027, will generate enough energy to power over 3 million homes in Britain.
In May, Orsted halted its Hornsea 4 project, citing high supply chain costs, rising interest rates, and increased execution risks, estimating that the cancellation would cost the company up to 5.5 billion Danish crowns.
As the largest offshore wind developer globally, Orsted is working to regain investor confidence amid rising costs due to supply chain issues and inflation, alongside uncertainty from former U.S. President Donald Trump's stance on renewable energy.
The stake in the £8.5 billion ($11.41 billion) project was sold to Apollo Global Management, a New York-listed firm managing over $800 billion in assets, leaving Orsted with an equal 50% share.
Orsted stated that the transaction is a significant step in its funding strategy, aligning its partnership and divestment goals with a focus on capital management.
Apollo's investment includes a 50% stake and a promise to cover 50% of the remaining construction costs.
In October, Orsted raised $9.4 billion through a heavily discounted rights issue to strengthen its balance sheet and later revealed plans to reduce about a quarter of its workforce by the end of 2027. Shares closed at 115 Danish crowns on Monday, reflecting an 85% decline from their peak in 2021.
The 2.9-gigawatt Hornsea 3 project, anticipated to become the largest offshore wind farm in the world upon its completion in 2027, will generate enough energy to power over 3 million homes in Britain.
In May, Orsted halted its Hornsea 4 project, citing high supply chain costs, rising interest rates, and increased execution risks, estimating that the cancellation would cost the company up to 5.5 billion Danish crowns.