Danish offshore wind developer Orsted has priced its $9.42 billion rights issue at 66.6 crowns ($10.46) per share, a 66.7% discount to the stock's closing price on Friday…
Danish offshore wind developer Orsted has priced its $9.42 billion rights issue at 66.6 crowns ($10.46) per share, a 66.7% discount to the stock's closing price on Friday, as it shores up its finances in the face of mounting challenges.
The company has been grappling with supply chain disruptions, surging interest rates, project delays and U.S. President Donald Trump's anti-wind policies, leaving its share price down 85% from a January 2021 peak.
Earlier this month, Orsted won shareholder approval for the capital raise, which it needs to help fund U.S. projects thrown into uncertainty.
The company, which currently has 420 million shares outstanding, plans to add 901 million new shares in the rights issue, it said in a prospectus published on Monday.
At the heart of its financial struggles are the U.S. projects Sunrise Wind and Revolution Wind.
"Today ...we're initiating a rights issue, through which we intend to raise capital to cover the additional funding requirement related to Sunrise Wind and create a robust financial foundation for Orsted to realise the potential of our business," it said in a statement.
Two-thirds of the new capital is
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