By OSLO (Reuters) – Norway’s Equinor said on Monday it has bought a 9.8% stake in Danish renewable energy group Orsted (CSE:ORSTED) valued at around $2.5 billion, making it the second largest shareholder after the government of Denmark.
Orsted’s share price rose on the news, trading 2.8% higher at 1028 GMT, while Equinor’s shares fell by 2.3%.
Orsted did not immediately respond to a request for comment.
Equinor said it had a long-term perspective on the investment but did not plan to raise its stake beyond 10%.
“This is a counter-cyclical investment in a leading developer, and a premium portfolio of operating offshore wind assets,” Equinor CEO Anders Opedal said.
“The exposure to producing assets complements Equinor’s operated offshore wind portfolio of large projects under development,” he added.
Equinor is supportive of Orsted’s strategy and management, and is not seeking board representation, the Norwegian group said.
Equinor’s ownership position was built over time, through a combination of market purchases and a block trade, it added.