October 2, 2024 — Institutional investors continue to show interest in the developing offshore energy sector demonstrated by the closing of a deal that rearranges the partnership for Ørsted in its U.S. offshore wind energy projects. Global Infrastructure Partners, which was acquired by famed group BlackRock, completed the previously announced deal to buy Eversource Energy’s 50 percent interest in two wind farms with Ørsted.
Eversource had previously announced its intent to exit the offshore wind sector to focus on operations as a pure-play regulated pipes and wires utility. They agreed earlier this year to sell their share of the planned Sunrise Wind project to Ørsted and yesterday completed the sale of its shares in South Fork Wind and Revolution Wind to Global Infrastructure Partners (GIP). While Eversource has exited its offshore wind investments, the company remains a contractor on the ongoing onshore construction scope for Revolution Wind, and a tax equity investor in South Fork Wind.
The final price for the 50 percent shares of the two U.S. offshore wind farms was $745 million, which was reduced by approximately $375 million from the original value of $1.12 billion on the deal. Eversource cited increased construction costs and delays for Revolution Wind. With a $370 million gain on the separate sale of Sunrise Wind, Eversource still expects to record a loss of $520 million for the divestiture of its offshore wind interests.