### Brookfield Expands into UK Offshore Wind with Significant Investment
In a strategic move aimed at bolstering its presence in the renewable energy sector, Brookfield Asset Management has announced the acquisition of a 12.45% minority stake in four operational UK offshore wind farms owned by Ørsted. This substantial investment, valued at approximately $2.25 billion (GBP 1.74 billion), marks a critical milestone in Brookfield’s expansion into the UK’s North Sea wind energy market.
#### Key Highlights of the Transaction
– **Wind Farms and Capacity**: The portfolio includes Hornsea 1 and Hornsea 2, as well as the Walney Extension and Burbo Bank Extension wind farms. These assets collectively have a total capacity of approximately 3.5 GW, underscoring their significant contribution to the UK’s renewable energy landscape.
– **Partnership with Ørsted**: This deal signifies a strong partnership between two industry leaders. Ørsted, the world’s largest offshore wind player, will continue to oversee the operations and maintenance of the wind farms, ensuring a seamless transition. The partnership also includes a call option, allowing Ørsted to potentially repurchase the assets from Brookfield between two and seven years after the transaction’s closing date at a pre-agreed price.
– **Brookfield’s Entry into UK Offshore Wind**: This investment is Brookfield’s first foray into the UK’s offshore wind sector. The acquisition underscores the company’s commitment to diversifying its renewable energy investments and contributing to the UK’s ambitious decarbonization targets.
#### Strategic Significance
This transaction aligns with both companies’ long-term strategies. For Ørsted, it represents a significant step towards their farm-down program, announced as part of their February business plan update. By divesting a portion of its stake in these assets, Ørsted ensures value retention while re-investing in new projects.
For Brookfield, this investment offers the opportunity to partner with Ørsted in a fully operational and scaled offshore wind portfolio. This move is emblematic of Brookfield’s expansion into the offshore wind sector, a mature technology complementing solar PV and onshore wind.
#### Reactions from Executive Leaders
– **Mads Nipper, Group President and CEO of Ørsted**: “We’re pleased to welcome Brookfield, a leading renewable energy investor with proven investment and operational expertise, as a partner in four UK offshore wind farms in one of Ørsted’s