The transaction is the first acquisition by Glennmont for its €850m (£759m) Clean Energy Fund III, which achieved final close last month
Image: Gode Wind 1 is powered by 55 of Siemens Gamesa’s 6MW turbines. Photo: Courtesy of Nicholas Doherty/Unsplash.
Glennmont Partners has agreed to acquire 25% stake in the 330MW Gode Wind 1 offshore wind farm from the present 50% owner Global Infrastructure Partners II (GIP II), a fund managed by Global Infrastructure Partners (GIP).
The wind farm is located off of German coast in the North Sea and has been operating under a 50/50 joint venture between GIP II and Ørsted. Besides owning stake in the wind farm, Ørsted provides operations and maintenance services and a route to market for power production, for the next 20 years.
Subject to approval from the competition authorities, the deal is expected to be closed in the third quarter of this year.
Glennmont Partners CEO and managing partner Joost Bergsma said: “We are delighted to announce this important transaction as Glennmont’s first investment in the German offshore wind market and to be partnering with Ørsted, a recognized leader in the sector.
“Gode Wind 1 represents a high-quality offshore wind asset supported by a demonstrable track record of cash flow generation to deliver value for our investors.”
The acquisition is the first transaction by Glennmont for its Clean Energy Fund III
The transaction is the first acquisition by Glennmont from its €850m (£759m) Clean Energy Fund III, which achieved final close last month.
This announcement follows The Renewables Infrastructure Group Limited (TRIG) acquiring 25% indirect stake in the wind farm from GIP. The deal was announced last month and is yet to be completed.
After the completion of two transaction, the new owners of the Gode Wind 1 wind farm will include Ørsted with 50% stake, TRIG with 25% and Glennmont with the remaining 25%.
Powered by 55 of Siemens Gamesa’s 6MW turbines, the wind farm generates 330MW of clean electricity. It is supported by a Feed-in-Tariff until 2027, followed by a floor price for another 10 years.
Gode Wind 1 is part of a cluster of Gode 1 and 2 wind farms, which generate a total of 582MW of clean energy. The estimated investment for these two wind farms is €2.2bn (£1.97bn). GIP acquired the 50% stake in the wind farm for €780m (£697m) in September 2015.