Eversheds advises on £423m wind farm acquisition

Law firm Eversheds has advised BlackRock and Green Investment Bank on £423m acquisition from Centrica and EIG.

Eversheds advised a consortium of Britain’s state-owned Green Investment Bank (GIB) and U.S. investment group BlackRock, on their £423million acquisition of over 200-megawatts of offshore and onshore wind farm capacity from Centrica and EIG Global Energy Partners.

GIB will own a 61 per cent stake in the 194MW, Lynn and Inner Dowsing offshore wind farms, located off the coast of Lincolnshire, with BlackRock owning the remaining 39 per cent. This partnership marks the first time UK offshore wind farms have been 100 per cent owned by non-utility investors. Complete ownership of the onshore wind farm at Glens of Foudland will be transferred to BlackRock’s funds.

The Eversheds team was led by partner Stephen Hill assisted by associates Lee Harris and Andy Lord.

Stephen Hill commented:

“Stability and buoyancy of the renewable energy sector have created a wealth of opportunities for private investors. As their largest transaction to date, and their first offshore deal, this is a huge milestone for both BlackRock and Green Investment Bank. Our Renewable and Clean Energy team are leading experts in the market and we are delighted to have assisted on this significant acquisition.”

Karl Smith, fund managing director of UK Green Investment Bank Financial Services, said:

“The unique partnership that we have entered into demonstrates the ability of the Offshore Wind Fund to capitalise on opportunities presented by the UK offshore wind sector, as well as highlighting the quality of existing assets in UK waters.”

BlackRock managing director Rory O’Connor added:

“This landmark transaction demonstrates BlackRock’s significant investment programme in the UK renewables sector. For investors, the sector can provide opportunities for less correlated, inflation-linked, long-duration income and attractive risk-adjusted returns.”