Stake Transaction

On 24 June 2021, Vattenfall and BASF signed an agreement under which BASF acquired a 49.5% equity stake in the 1.5 GW Hollandse Kust Zuid (HKZ) offshore wind farm from Vattenfall for a purchase price of EUR 0.3 billion. Including BASF's contribution to fund construction, the chemicals group's total financial commitment to the project amounted to approximately EUR 1.6 billion. The transaction closed earlier than originally planned, on 1 September 2021, after approval of all relevant regulatory authorities. The deal made BASF a 49.5% co-owner of HKZ alongside Vattenfall (50.5%) and was paired with a long-term fixed-price corporate power purchase agreement under which BASF received most of the renewable electricity associated with its stake to supply European production sites, notably the BASF Antwerp Verbund. Vattenfall retained operational responsibility for the wind farm. The agreement marked the first equity sell-down of HKZ ahead of construction and was a precursor to BASF's subsequent partial onward sale of 25.2% to Allianz Capital Partners announced in December 2021 and closed in April 2022.