French Companies to Form Floating Offshore Wind Joint Venture

July 6, 2023, by Adnan Memija

France’s BW Ideol and its compatriot ADEME Investissement have entered into a final agreement for a funding injection to set up a new floating offshore wind company.

Under the contract, BW Ideol will transfer its co-development project portfolio to BW Ideol Projects Company with ADEME investing an initial EUR 17.85 million at the first financial closing date planned in September.

The first financial closing is subject to the completion of the reorganisation and, in particular, the approval by Crown Estate Scotland of the transfer of the ownership of BW Ideol’s share in the 1 GW Buchan offshore wind project, jointly developed with Germany’s BayWa and Belgium’s Elicion.

Subsequent capital injections will be based on project funding calls with a co-financing at an equal share between BW Ideol and ADEME Investissement, said BW Ideol, and when all funding calls are completed, each company will have invested EUR 40 million in the joint floating offshore wind firm.

Following the first closing, BW Ideol will own 75.8 per cent of BW Ideol Projects Company, representing a post-money valuation of BW Ideol Projects Company of around EUR 74 million, while ADEME is expected to increase its holding over time as further projects are matured and financed.

BW Ideol retains full ownership of its other business activities and assets, including technology and related IP and know-how portfolio, the floater EPCI business line and the exclusivity with the Port of Ardersier in Scotland for a floater production line, the Floatgen demonstrator, and the ownership in the EolMed offshore floating wind farm pilot.

BW Ideol will also retain all its teams, including engineering, business development, project execution, supply chain, legal, innovation, finance.

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BW Ideol is the only floating technology provider with two full-scale assets in operation in France and Japan.

ADEME Investissement is a French State-owned investment company aiming at financing innovative infrastructure projects funded by the Investment for the Future Program.