Ørsted Faces New US Market Challenges Amid Major Offshore Wind Asset Sale

Danish energy company Ørsted is navigating significant hurdles in the US market, described as "very complicated" by analyst Ulf Petersson. Despite these difficulties, the broader economic outlook for 2026 remains optimistic, with expectations of an economic recovery.

In a strategic move to optimize its portfolio, Ørsted announced the sale of a 55% stake in its Greater Changhua 2 offshore wind farm to Taiwanese Cathay Life Insurance and its subsidiary Cathay Power. This offshore wind project boasts a capacity of 632 megawatts. The deal is valued at approximately 5 billion Danish kroner, equivalent to about 7 billion Swedish kronor, according to an official press release.

This divestment reflects Ørsted's efforts to manage its challenges and focus its resources amid a complicated operational environment in the US. The sale to Cathay Life Insurance, a prominent player in Asia, underscores Ørsted's strategic pivot to balance risk and optimize asset management.

Petersson highlighted that the situation in the US market requires careful navigation due to its complexity. Meanwhile, other sectors experience contrasting developments, such as Novo Nordisk’s recent FDA approval of a new drug.

This asset sale marks a significant financial transaction for Ørsted as it adjusts to market conditions, aiming to strengthen its position globally while addressing operational challenges in the American offshore wind sector.