ITOCHU Buys PKA’s 22.5% Stake in Butendiek OWF for DKK 1 Billion

Business & Finance

Danish pension fund administrator PKA has sold its stake in German Butendiek offshore wind farm to a consortium led by ITOCHU, the second-largest Japanese sogo shosha after Mitsubishi Corporation, for DKK 1 billion (approx. EUR 134.5 million).

Image source: PKA

The sale is still subject to competition authority approval.

In 2013, PKA acquired a 22.5% stake in the German offshore wind farm which was completed in 2015.

PKA said it has more than doubled the amount invested since 2013, thus achieving an annual return of approximately 25% to its members.

“Normally, we would be in this type of infrastructure investment throughout its full lifespan, which is typically 25 years. But we were able to get a solid win for our members, and we seized the opportunity,” said PKA’s CEO Peter Damgaard Jensen.

“We can only be happy with a gain of nearly DKK 1 billion in just three years. Therefore, we will continue to follow our strategy to invest in alternatives – and it may very well be a new offshore wind farm, where we can combine good returns and making a positive difference for the climate,” Jensen said.

Located 32km west of the island of Sylt, the EUR 1.3 billion Butendiek project comprises 80 Siemens SWT 3.6-120 turbines capable of powering around 370,000 households with renewable energy.

The wind farm has been developed and operated by wpd, and besides PKA and wpd, other investors include Marguerite Fund, Siemens Financial Services, Industriens Pension (IP), CDC Infrastructure, ewz (Elektrizitätswerk der Stadt Zürich – Zurich Electricity Works).