Orsted plans a DKK 60 billion rights issue, with the Danish state subscribing to 50.1%. The move is driven by funding needs following the discontinuation of the US Sunrise Wind offshore wind farm sale. The new shares will be issued at a 45% discount, leading to a 37% reduction in EPS estimates. Orsted’s fair value estimate is reduced by 29% to DKK 283. The CEO’s decision to proceed with the rights issue removes uncertainty but may be ill-timed. Orsted trimmed its 2026 EBITDA guidance due to no construction agreement earnings from the Sunrise Wind sale and earlier-than-expected sale of Greater Changhua 2. The company set its 2027 EBITDA guidance above DKK 32 billion. Second-quarter earnings exceeded expectations.

Read more at Morningstar: Fair Value Cut by 29% Amid Ill-Timed Massive Rights Issue