Vestas buys offshore JV stake from Mitsubishi Heavy for $838 mln
Adds CEO quote, detail
COPENHAGEN, Oct 29 (Reuters) - Danish wind turbine maker Vestas VWS.CO said on Thursday it had agreed to buy Mitsubishi Heavy Industries' 7011.T 50% share in their offshore joint venture MHI Vestas for 709 million euros ($838 million).
"Vestas is the leader in onshore wind, but to accelerate the energy transition and achieve our vision we must play a larger role in offshore wind," CEO Henrik Andersen said in a statement.
Vestas will acquire the stake in exchange for a 2.5% stake in itself and Mitsubishi will also get a seat on the Danish company's board.
MHI Vestas is expected to report consolidated sales of around 1.4 billion euros this year, with an EBIT margin of around 4%, less than Vestas' ambition of a double-digit margin.
Vestas said it will soon launch a new, larger and more efficient offshore wind platform.
Under the deal, the two companies will form a joint venture for sales of onshore and offshore wind turbines in Japan.
($1 = 0.8461 euros)
(Reporting by Jacob Gronholt-Pedersen; editing by Jason Neely)
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