Finance
Orsted says it has no plans to merge with Equinor's renewables unit
Published by Global Banking and Finance Review
Posted on November 5, 2025
2 min readLast updated: January 21, 2026
Global Banking and Finance Review
Company
Published by Global Banking and Finance Review
Posted on November 5, 2025
2 min readLast updated: January 21, 2026
Orsted has confirmed no intentions to merge with Equinor's renewables unit, despite Equinor's 10% stake and market consolidation suggestions.
By Nerijus Adomaitis
OSLO (Reuters) -Danish offshore wind giant Orsted said on Wednesday that it had no plans to take over the renewables business of Equinor, its second biggest shareholder, which has proposed closer ties between the companies.
Norwegian oil, gas and renewables group Equinor, which took a 10% stake in Orsted last year and injected close to $1 billion in an October share issue, said last week the offshore wind industry needed consolidation.
Orsted's shares have plummeted 85% from their 2021 peak, hit by soaring costs and supply chain disruptions, as well as challenges in the United States where President Donald Trump sought to halt ongoing developments and suspended new licensing.
ORSTED POURS COLD WATER ON TIE-UP IDEA
Some analysts have said Equinor would benefit from spinning off its own renewables unit and merging it with Orsted, and the Norwegian group's chairman in September told Reuters the board had an open mind about what its ownership could lead to.
But Orsted's top executives on Wednesday poured cold water on the idea of a tie-up.
"We have no such plans," Chief Financial Officer Trond Westlie told a call with analysts.
Orsted CEO Rasmus Errboe said the company appreciated the continuing support from its second-largest shareholder, but was focusing on its own business.
"I've also noted the comments (from Equinor) that you alluded to ... Our focus, my focus, is to deliver on our plans, on our strategy, quarter by quarter," he said.
"I'm confident that we in Orsted have a very suited business model for offshore wind," Errboe added.
Equinor in September reiterated that it would remain a long-term investor in Orsted and said it planned to nominate a candidate to the Danish company's board.
Orsted's biggest shareholder is the government of Denmark, which holds a 50% stake in the company.
(Reporting by Nerijus Adomaitis; Editing by Terje Solsvik and Conor Humphries)
A merger is a business combination where two companies join to form a single entity, often to enhance efficiency, market share, or financial performance.
Renewable energy is energy derived from natural sources that are replenished at a faster rate than they are consumed, such as solar, wind, and hydroelectric power.
A shareholder is an individual or institution that owns shares in a company, entitling them to a portion of the company's profits and assets.
Market reaction refers to the response of investors and traders to news or events that affect a company's stock price, often leading to price fluctuations.
A business focus is the strategic direction a company chooses to prioritize, including its goals, target market, and the products or services it offers.
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