Law firm Orrick assists Ørsted in transitioning to a greener future with the recent deal agreement.
Published at 07 May 2025
Ørsted Tightens the Reins with Schroders Greencoat: A Closer Look
Behind the Divestment of West of Duddon Sands Offshore Wind Farm
In a recent deal, Ørsted has offloaded a 24.5% stake in its West of Duddon Sands Offshore Wind Farm to funds managed by Schroders Greencoat, securing a cool £456.1 million. This investment move is part of Ørsted's strategic plan to diversify risk, strengthen its financial structure, and recycle capital effectively[3][4]. The Danish energy giant remains the primary operator of the facility, holding a 25.5% pro-rata share[5].
Ørsted's Core Strategy: Partnerships and Divestments
Ørsted's business strategy counts heavily on partnerships and divestments, popularly known as "farm-downs," to build a solid financial foundation by managing capital and risk[5]. By adopting this approach, Ørsted can concentrate on its core objectives, such as expanding its offshore wind capacity globally, currently aiming to construct over 8 GW of offshore wind projects[5]. The collaboration with Schroders Greencoat mirrors Ørsted's goal to maintain its position as a leader in the global offshore wind market while securing financial stability.
Schroders Greencoat: A Valuable Partner for Ørsted
Schroders Greencoat, a firm renowned for its expertise in managing renewable energy infrastructure assets, stands as a valuable partner for Ørsted[5]. By acquiring stakes in projects like the West of Duddon Sands, Schroders Greencoat demonstrates its dedication to the renewable energy sector, which aligns with Ørsted's strategic objectives for partnership diversification[5]. This collaboration not only boosts investment in renewable energy projects but also bolsters the credibility of offshore wind as a sustainable energy source.
A Boost for the Offshore Wind Sector
The strategic pairing serves as a testament to the growing demand for renewable energy investments. It indicates a transition in the sector towards collaborative models that combine financial expertise and operational know-how to fuel growth and guarantee long-term sustainability[5]. By allying with knowledgeable asset managers like Schroders Greencoat, Ørsted can progressively expand its offshore wind portfolio while assuring financial robustness and diversifying its partnership network.
The Horizon: Global Expansion and Leadership
Ørsted aims to double its offshore wind capacity through a more than 8 GW construction program[5], positioning itself at the helm of the global shift towards renewable energy sources. The alliance with Schroders Greencoat synergizes with Ørsted's global vision, illustrating how cooperative arrangements between operators and investors can propel large-scale renewable energy projects and strengthen the sector's economic viability.
- In 2025, Ørsted sold a portion of the West of Duddon Sands Offshore Wind Farm to Schroders Greencoat for approximately GBP 456.1 million.
- This deal is part of Ørsted's strategic plan to diversify risk, strengthen its financial structure, and recycle capital effectively in the renewable-energy industry.
- Schroders Greencoat, a company known for managing renewable energy infrastructure assets, is a valuable partner for Ørsted, as the collaboration furthers investment in renewable energy projects and boosts the credibility of offshore wind as a sustainable energy source.
- By 2025, Ørsted plans to expand its offshore wind capacity globally, aiming to construct over 8 GW of offshore wind projects.
- The strategic partnership between Ørsted and Schroders Greencoat serves as an example of the growing demand for renewable energy investments, illustrating how the sector is transitioning towards collaborative models for sustainable growth.
