Norwegian sovereign wealth fund acquires first renewable energy asset
NBIM will pay €1.37bn for its 50% interest in the Borssele 1 & 2 offshore wind farm, with no external debt financing involved in the transaction, which is expected to be completed in the second or third quarter of 2021. Renewable energy specialist Ørsted will be selling its stake to the Norwegian wealth fund but will remain the co-owner and operator of the project.
Borssele 1 & 2 offshore wind farm has an installed capacity of 752MW and produces energy equivalent to the annual electricity consumption of around one million Dutch households. It is currently the largest operational wind farm in the Netherlands and second largest in the world. It was fully commissioned in the fourth quarter of 2020.
Mie Holstad, chief real assets officer at NBIM, said that the acquisition is in line with our strategy to build a high-quality portfolio of wind and solar power generation assets. “The unlisted renewable energy infrastructure strategy supplements our existing unlisted real estate portfolio well, and we draw on our long experience with direct investments,” said Holstad.