Iberdrola sells 40% of its East Anglia One offshore wind farm

Iberdrola has closed the sale of a 40% stake in its large offshore wind farm in the United Kingdom, East Anglia One (EAO), for 1,630 million pounds (about 1.8 billion euros) to the Australian Macquarie group.

The sale, which has been made through its British subsidiary ScottishPower Renewables, has been completed once the mandatory authorization has been obtained from The Crown Estate on August 30.

The park, located in British waters of the North Sea, is valued in total at 4,100 million pounds (about 4,527 million euros) and its entry into operation is scheduled for next year.

The group has indicated that this transaction, which is part of the asset turnover plan of 3,500 million euros updated in February this year, will not have a relevant impact on its consolidated results for the year 2019.

At the time of the announcement of the operation, Iberdrola stressed that this offshore wind farm is one of its most relevant projects and “the largest renewable project ever developed by a Spanish company.”
“When it enters into operation in 2020, the park will be the largest in the world, with an installed capacity of 714 megawatts (MW), which will supply 600,000 British homes with clean energy,” he added.

Santander CIB, the investment banking unit of Banco Santander, has been the exclusive financial advisor of Iberdrola in this transaction.

A spokesman for the entity said that it is “a historic operation in renewable energy in the United Kingdom”, which shows “the bank’s commitment to support green and renewable energy.”

The bank aims to facilitate the mobilization of 120,000 million euros between 2019 and 2025 in green financing to help combat climate change.

Over the next few years, Iberdrola will redouble its commitment to offshore wind power, with the development of a project portfolio exceeding 10,000 MW.

This growth will be articulated, fundamentally, around three axes: the North Sea, the Baltic Sea and the United States.

The company plans to allocate 13,260 million euros to the renewable business, 39% of the 34,000 million euros of investment contemplated for the 2018-2022 period.