Orsted said on Friday he had reached an agreement with Brookfield Renewable to buy a 100% stake in the latter’s Irish and UK onshore wind company, Brookfield Renewable Ireland.

Orsted said the deal would see him enter the European onshore market. In 2014, the company, then known as DONG Energy, divested its last onshore wind activities to focus on the offshore sector.

According to Orsted, the deal has an enterprise value of 571 million euros ($ 684 million), although that figure is subject to adjustments. The deal is expected to close in the second quarter of 2021.

Brookfield Renewable Ireland, or BRI, is headquartered in the Irish city of Cork and specializes in the development and operation of onshore wind farms.

Orsted described the BRI as having “an attractive portfolio” which includes 389 megawatts (MW) in operation and under construction as well as a development pipeline of over 1 gigawatt (GW).

“In the United States, we have built a strong onshore business with 4 GW in operation and under construction,†Orsted CEO Mads Nipper said in a statement.

“The European onshore wind energy market is expected to experience significant growth in the coming years,†added Nipper.

He went on to say that his company’s acquisition of BRI would provide him with “a solid platform that extends our presence in onshore renewables to Europe.”

Europe is home to a well-developed wind energy industry. According to WindEurope figures, in 2020, 14.7 GW of wind capacity was installed there.

The industry body claims that 80% of these facilities were in the onshore sector, with a total onshore capacity of 194 GW.

In the United States, onshore capacity is over 122 GW, according to the American Clean Power Association. China, a dominant force in wind power, has more than 278 GW of onshore capacity, according to the Global Wind Energy Council.

Capacity refers to the maximum amount that facilities can produce, not what they necessarily generate.