Valmont Industries has entered into a definitive agreement to sell its offshore wind business to Euro Steel, a Denmark-based supplier of steel products to the European wind market.
The offshore wind business was acquired by Valmont in 2014 and is expected to generate approximately $100m of revenue in fiscal year 2022.
Valmont plans to use the net cash proceeds from this transaction toward repayment of short-term borrowings.
“A critical aspect of our strategy is to focus our businesses in areas where we see the highest potential for global growth, scalability and value creation,” said Stephen Kaniewski, Valmont President and CEO.
“This transaction enables our renewable energy management team to focus exclusively on expanding our solar business, which has tremendous growth opportunities globally and better aligns with our strategy of delivering long-term value to our shareholders.
“I want to thank our Valmont SM associates for successfully facilitating the efforts to reshape the business toward more profitable growth.
“We are very pleased that the team will be working with a strong partner who has a shared vision to invest and grow the business to meet increasing market demand for larger turbine and structure sizes.”