EC greenlights transfer of control over MHI Vestas

The European Commission (EC) on Friday cleared a deal that will give Japan’s Mitsubishi Heavy Industries Ltd (TYO:7011) a minority stake in Danish turbine maker Vestas Wind Systems A/S (CPH:VWS) in exchange for its interest in their equally-owned offshore wind joint venture (JV).

A month ago, it was announced that Vestas would acquire Mitsubishi’s entire stake in MHI Vestas Offshore Wind A/S for around EUR 709 million (USD 846.8m). In exchange, Mitsubishi would buy Vestas’ shares to gain a 2.5% stake in the group and a nomination to a seat in the board of directors.

Announcing EC's green light, Vestas on Friday said that the parties expect to close the transaction before the end of the year. Until then, Vestas and its offshore equivalent will work as independent companies. Some planning to integrate MHI Vestas into the Vestas group fold has been under way, while full planning will start once the transaction is finalised, the turbine maker said.

“With today’s approval of the transaction we are excited to move one step closer towards welcoming offshore back into the Vestas family. I’m personally very encouraged by the many dialogues I’ve had with both Vestas and MHI Vestas Offshore Wind colleagues as well as our customers and partners since we announced the strengthened partnership with Mitsubishi Heavy Industries. It’s clear that everyone is excited about our bold step together towards accelerating the energy transition,” Vestas CEO Henrik Andersen said in a statement.

(EUR 1.0 = USD 1.194)

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