Norway’s Equinor said it will participate in Danish energy firm Ørsted’s €8 billion rights issue, aimed at reinforcing the company’s balance sheet and securing funding for the 924-megawatt (MW) Sunrise Wind project in the United States.
Ørsted launched the capital raise last month after shelving plans to partially divest its stake in Sunrise Wind. The Danish government, which holds a 50.1% stake in Ørsted, has committed to subscribing to its full allocation under the rights issue, which is structured to allow existing shareholders to maintain their ownership levels.
Equinor, which owns 10% of Ørsted, said it plans to fully subscribe to its share of the issue. Based on current exchange rates, its commitment could total up to DKK 6 billion (USD 939 million).
“Equinor believes that a closer industrial and strategic collaboration between Ørsted and Equinor can create value for all shareholders in both companies,” the company said in a statement.
The move comes amid continued volatility in the U.S. offshore wind market. Investor confidence was shaken earlier this year when the Trump administration issued a temporary stop-work order on Equinor’s Empire Wind project, which has since been lifted.
Equinor said its decision to support Ørsted reflects “confidence in Ørsted’s underlying business, and the competitiveness of offshore wind in the future energy mix, in selected geographies.”
The Norwegian energy company also confirmed it will nominate a candidate for Ørsted’s board of directors ahead of the next annual general meeting, signaling a deeper strategic interest in the Danish firm.
Equinor currently has 0.4GW of net installed offshore wind capacity and 3GW under development. The company said it remains focused on completing ongoing projects in north-west Europe and the Empire Wind 1 project in the U.S.
“Equinor is following recent developments around the offshore wind industry in the US closely and will remain in dialogue with Ørsted as the situation evolves,” the company added.
