Renewable infrastructure company Greencoat Renewables has announced a deal which will see it enter the German market with its first offshore transaction.

Greencoat said it will buy 50% of the Borkum Riffgrund 1 offshore wind farm in Germany from Kirkbi and William Demant Invest for €350m.

The wind farm was developed and constructed by Ørsted, which remains a 50% shareholder.

Borkumm Riffgrund 1 is in Germany's exclusive economic zone in the North Sea and consists of 78 SGRE 4.0MW turbines that have been operational since 2015.

Ørsted will continue to provide operation, maintenance and management services to the wind farm under a long-term contract.

The wind farm benefits from a fixed-price contract for difference until September 2024.

After this, the project benefits from a government-backed floor price for the electricity sold until May 2035, which provides exposure to power price upside as well as the emerging European corporate power purchase agreement (PPA) market opportunity.

The transaction is subject to regulatory clearance and is expected to close in the second quarter of this year.

Bertrand Gautier, Investment Manager, said the company was pleased to enter the continental offshore wind market with a significant strategic stake in Borkum Riffgrund 1.

"This acquisition will contribute to Greencoat Renewables' strategy to build a diversified portfolio of high-quality renewable electricity generation assets supported by strong contracted cash-flows and will support the Company's further expansion into continental Europe," he added.