Norwegian energy giant Equinor has bolstered its commitment to the offshore wind sector by acquiring a 9.8% stake in Danish renewable energy leader Ørsted, increasing its total ownership to 41,197,344 shares. This strategic move makes Equinor the second-largest shareholder in Ørsted, following the Danish State, which maintains a controlling interest in the company.
Anders Opedal, CEO of Equinor, emphasized the company’s long-term investment strategy in a statement: “Equinor has a long-term perspective and will be a supportive owner in Ørsted. This is a counter-cyclical investment in a leading developer, and a premium portfolio of operating offshore wind assets. The exposure to producing assets complements Equinor’s operated offshore wind portfolio of large projects under development.”
Despite its significant investment, Equinor has no plans to seek board representation and has reaffirmed its support for Ørsted’s management and strategic direction. Opedal noted, “This investment aligns with Equinor’s strategy of value-driven growth in renewables. The offshore wind industry is currently facing a set of challenges, but we remain confident in the long-term outlook for the sector, and the crucial role offshore wind will play in the energy transition.”
Ørsted currently boasts a net renewable generation capacity of approximately 10.4 GW, with an additional 7 GW of offshore wind projects underway. The company aims to achieve a gross installed renewable capacity of between 35 to 38 GW by 2030.
Equinor’s stake in Ørsted has been acquired gradually through a mix of market purchases and a block trade, with the current market value of its holdings estimated at around $2.5 billion. Subject to regulatory approvals under Foreign Direct Investment regulations, Equinor plans to increase its stake to 10%, though no further increases are currently anticipated.
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