Ørsted has agreed to offload a 50% stake in the 253MW Gode Wind 3 offshore wind farm in Germany to funds managed by Glennmont Partners from Nuveen in a deal worth €473m.

The consideration includes the price for the 50% ownership share of the German offshore wind farm as well as a commitment to finance 50% of its construction.

Being developed in the German North Sea, the Gode Wind 3 facility was awarded to Ørsted as two separate projects, namely Gode Wind 3 and Gode Wind 4 in 2017 and 2018.

In 2019, the two projects were renamed to be built as one joint project under the name of Gode Wind 3.

The Gode Wind 3 project is scheduled to achieve commercial operation in 2024.

Ørsted Central Europe head Peter Obling said: “We continue to see strong investor interest for offshore wind farms, and we’re very pleased to once again welcome Glennmont as a co-owner of one of our German offshore wind farms.”

The German offshore wind farm is being constructed along with the Borkum Riffgrund 3 offshore wind farm, which is co-owned by Ørsted and Glennmont Partners in a 50-50 partnership.

Glennmont Partners also co-owns Ørsted’s Gode Wind 1 offshore wind farm.

Glennmont Partners from Nuveen chief financial officer and partner Francesco Cacciabue said: “This third investment in German offshore wind with Ørsted continues and strengthens our successful partnership.

“Ørsted is a recognised leader in the offshore wind sector, and this acquisition underscores Glennmont’s strategy of investing in superior quality projects and developing long-term strategic partnerships with industry leaders.”

Subject to regulatory approvals, the transaction is expected to be completed in the coming months.

Separately, Ørsted announced that it selected Cathay Life Insurance and its affiliate as the preferred bidder for a 50% ownership share in the 583MW Greater Changhua 4 offshore wind farm in Taiwan.

In this regard, both parties have signed an exclusivity agreement which will last until 17 January 2024.

The completion of the divestment is conditional upon signing of the transaction and regulatory approvals from the Taiwanese authorities.