KKR and RWE Line Up $16 Billion for U.K. Offshore Wind

The Vanguard West and Vanguard East projects are expected to have combined generating capacity of 2.8 gigawatts. KKR, RWE and a consortium of 35 international banks are providing the financing. The companies will jointly develop, build and operate the wind farms, with RWE leading delivery and targeting the start of offshore construction in early 2027.

KKR secured a 50% equity stake in the projects in January, forming a joint venture with RWE to develop and operate them. The investment adds to the New York-based firm’s recent renewable-energy deals. In August, KKR said it bought a 50% stake in European onshore solar and wind assets held by France’s TotalEnergies in a deal valued at around $2 billion. In June, it said it had launched a $1.3 billion renewable-energy platform with South Korea’s SK Inc. to meet demand for clean power in data centers.

Vincent Policard, KKR’s co-head of European infrastructure, said the U.K. has a significant opportunity to develop critical infrastructure that supports long-term economic growth and strengthens energy security. “Delivering at this scale requires substantial private investment,” he said.

Prime Minister Andy Burnham also backed the investment in a statement released Wednesday. “Every turbine we put up is power under British control, not at the mercy of events on the other side of the world,” he said.