Masdar, Iberdrola Reach Financial Close on £3.6 Billion East Anglia THREE Offshore Wind Farm

Masdar and Iberdrola have successfully reached financial close for the 1.4 GWEast Anglia THREE offshore wind farm, located off the coast of Suffolk in the United Kingdom. The project has secured £3.6 billion (€4.1 billion) in financing, marking one of the decade’s largest transactions in the offshore wind sector — and the largest ever financing deal undertaken by Masdar.

The debt facility was raised through a consortium of 23 commercial banks, along with Denmark’s Export Credit Agency (EIFO). The facility was oversubscribed by over 40 percent, reflecting strong confidence from global lenders in the project’s fundamentals and the strength of its sponsors.

Project Costs and Revenue Security

The total cost of the East Anglia THREE project is estimated at €5.2 billion. The financing will cover a substantial portion of this, with the remaining amount expected to be funded through equity and other sources.

Revenue certainty is supported by a 15-year CPI-linked Contract for Difference (CfD) secured under the UK Government’s Allocation Rounds 4 and 6. In addition, a long-term Power Purchase Agreement (PPA) was signed with Amazon in 2024, further enhancing the project's bankability.

Project Timeline and Capacity

Construction is underway, and the wind farm is expected to be operational by Q4 2026. Once complete, it will be among the world’s two largest offshore wind farms, supplying clean electricity to approximately 1.3 million British homes.

The project is also expected to create over 2,300 jobs during the construction phase and sustain 100 long-term roles once in operation.

A 50:50 Co-Investment and Strategic Partnership

Masdar and Iberdrola each hold a 50 percent stake in the East Anglia THREE asset, with joint governance rights. The investment is part of a broader €15 billion strategic alliance between the two companies, announced in December 2023. The partnership focuses on accelerating clean energy deployment in key global markets, including the UK, Germany, and the United States.

Masdar CEOMohamed Jameel Al Ramahicommented, “The level and profile of investor interest in this financing deal — the largest we have ever signed at Masdar — reflects our position as a global leader in sustainable finance. This project is a key step in supporting the UK’s energy transition goals.”

List of Participating Lenders and Advisors

A consortium of 23 leading banks is backing the deal.

• Global banks: HSBC, Crédit Agricole, BNP Paribas, MUFG, SMBC, ING, Rabobank, Bank of China, Standard Chartered, CIC, Barclays, Santander, BBVA, ANZ
  
  

• UK and European institutions: NatWest, Helaba, CaixaBank, Bank of Ireland, Abanca, ICO, FAB, Kutxabank, Siemens Bank

Financial advisory was led by Crédit Agricole CIB and MUFG, while legal advisory was provided by Allen & Overy (A&O) and Shearman & Sterling.