Aviva Investors, the global asset management business of Aviva plc (‘Aviva’), today announces a £400 million investment to help fund the construction of what will be the world’s largest offshore windfarm, Hornsea 1.
Located in the North Sea, approximately 101km off the North East coast of the UK, the windfarm will have an installed capacity of 1,218MW, almost double that of the current largest offshore windfarm, Walney Extension offshore windfarm, in which Aviva Investors invested £165 million in November last year. Hornsea 1 is expected to be fully commissioned by 2020 and has the potential to create over 2,300 jobs, increase supply chain development and generate enough electricity to supply over one million UK homes.
As part of the current deal, Orsted Wind Power sold 50 per cent of Hornsea 1 to Global Infrastructure Partners; which was funded via one of the largest project finance packages ever assembled in the renewable energy sector. Aviva Investors’ infrastructure debt and structured finance teams invested £400 million in fixed-rate and inflation-linked bonds.
Darryl Murphy, Head of Infrastructure Debt at Aviva Investors, said:
“We are delighted to have participated in the Hornsea 1 financing, which is a transformational deal for the European renewables market. We continue to have strong appetite for future investments within this sector, seeking opportunities that meet our clients’ investment requirements.”
Kunal Patel, Head of Partnerships and Structured Solutions at Orsted said:
“The Hornsea 1 farm down is a landmark transaction for the market and demonstrates the continued trust of blue chip institutions to invest in our projects.”
Infrastructure debt is a key part of Aviva Investors’ £37 billion Real Assets platform*. Darryl Murphy leads a team of 24 professionals based in London, Paris and Toronto, managing over €6 billion of assets globally. Aviva Investors is one of the leading pan-European infrastructure lenders, ranking #1 in the UK and #10 in Europe in 2017**.
* As at 31 December 2017
** Infranews Primary Lending league table for 2017
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Except where stated as otherwise, the source of all information is Aviva Investors Global Services Limited (“Aviva Investors”) as at 14 September 2018. Unless stated otherwise any views, opinions expressed are those of Aviva Investors. They should not be viewed as indicating any guarantee of return from an investment managed by Aviva Investors nor as advice of any nature. The value of an investment and any income from it may go down as well as up and the investor may not get back the original amount invested.
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Aviva Investors is the global asset management business of Aviva plc. The business delivers investment management solutions, services and client-driven performance to clients worldwide. Aviva Investors operates in 14 countries in Asia Pacific, Europe, North America and the United Kingdom with assets under management of £348 billion as at 30 June 2018.