Saudi Arabia’s sovereign wealth fund, the Public Investment Fund (PIF), alongside independent infrastructure investment fund Global Infrastructure Partners (GIP), acquired up to 9.5% equity stake in Germany-based offshore wind developer and operator Skyborn Renewables.

The value of the deal has not been disclosed.

PIF said that it will use the acquisition to invest in diverse offshore wind energy platforms and accelerate its efforts toward a clean energy transition.

Sykborn Renewables has over 20 years of experience developing offshore wind projects and owns a portfolio of 7 GW capacity with a presence in more than 15 European and Asia-Pacific markets.

The company also has a pipeline of over 30 GW of highly diversified offshore wind projects under various stages of development.

Deputy Governor and Head of the International Investments Division at PIF Turqi A. Alnowaiser said, “Offshore wind has a key role to play in driving global decarbonization, and we see significant growth opportunities for Skyborn. Our partnership with Skyborn and GIP will help drive the development of innovative sustainable technology, which positions Saudi Arabia as an enabler of industries of the future and the creator of new opportunities.”

The acquisition is expected to help PIF form strategic economic collaborations to achieve sustainable returns and unlock strong economic opportunities worldwide.

It has been investing in the low-carbon sector, including electric vehicles and solar energy projects, aligning with PIF’s commitment to equipping Saudi Arabia with 70% clean energy by 2030.

PIF has significant investments in renewable energy companies such as ACWA Power and the Sudair and Al Shuaibah Solar Energy projects.

Further, it has a presence in the development of electric vehicles through investments in E1, Lucid Motors, and Ceer.

Saudi Arabia plans to generate 15.1 TWh of renewable energy annually by 2024, meeting the power requirements of 692,557 households, according to the Kingdom’s General Authority for Statistics.

According to a report published by the Global Energy Monitor, the Arabic-speaking countries in the Middle East and North Africa plan over 73 GW of new utility-scale solar and wind power projects, a five-fold increase in current capacity, by 2030.