As the old-timers used to say: "Well-bought is half sold."
From Bloomberg, November 4:
Apollo Global Management Inc. agreed to invest $6.5 billion in a huge Orsted A/S offshore wind farm in the UK, the latest in a string of major European energy deals for the US private equity firm.
The investment is a vote of confidence in Orsted as it works to complete a series of large projects and refocus on Europe following costly setbacks in the US. Hornsea 3 is Orsted’s biggest wind farm under construction, making its successful delivery key to the company’s recovery and future growth.
Shares in the company were little changed in Copenhagen as the company had flagged that a deal would likely happen this year.
“The farm-down of Hornsea 3 is an extremely important turning point in the recovery of Orsted’s finances, together with the successfully completed capital increase,” Jacob Pedersen, head of equity research at Sydbank A/S, wrote in a note.
The so-called farm down was part of a divestment program planned by chief executive, Rasmus Errboe, when he took over the company to try to turn it around. The plan was overtaken by events in the US that sent the company into crisis mode. Orsted’s management will be hoping that the deal shows the start of a return to normality for the company after the completion of a $9.4 billion capital raise last month....
....MUCH MORE
Related, October 2:
"Offshore Wind Is a Mess. A Hedge Fund Sees the Perfect Time to Buy"
And the outro from same:
Not just hedge funds:
Private Equity - "Ørsted in talks to sell 50% stake in flagship U.K. offshore wind project to Apollo - FT"
Oil & Gas - Nordic Solidarity: "Equinor to Subscribe for Orsted Shares Worth Up to $939 Million in Rights Issue"
