Masdar's move to acquire a 49% stake in Iberdrola's East Anglia 3 offshore wind farm, valued at $3 million/MW may seem modest at first glance, especially when stacked against other UK offshore wind transactions. However, Enerdatics' analysis sheds light on the nuances of this deal.
Looking at similar billion-dollar transactions for in-construction assets under the the CfD regime, two factors stand out:
– The CfD strike price
– Time to start of commercial Operations
These elements are crucial in assessing an asset's valuation. The potential Masdar deal, when evaluated on these parameters, aligns well with market trends and appears to be a strategically sound investment.
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The above analysis is proprietary to Enerdatics’ energy analytics team, based on the current understanding of the available data. The information is subject to change and should not be taken to constitute professional advice or a recommendation.