The Hague: In a landmark move reshaping European energy infrastructure, the Dutch government announced the sale of a 46% stake in TenneT’s German operations to a consortium of international investors for up to €9.5 billion ($11.3 billion). The investor group includes Dutch pension fund manager APG, Norway’s Norges Bank, and Singapore’s sovereign wealth fund GIC, highlighting growing global interest in Europe’s power transmission sector.
TenneT Germany, overseeing more than 14,000 kilometers of high-voltage transmission lines, is the country’s largest grid operator. The sale comes amid soaring funding demands for power infrastructure, fueled by the continent’s accelerated transition to renewable energy and the modernization of its grids. The Dutch government will execute the deal through a private placement of newly issued shares, effectively reducing its ownership in the German unit while ensuring fresh capital flows for critical grid development.
This transaction follows a failed attempt last year to sell TenneT Germany to the German government. Berlin, however, has signaled renewed interest in acquiring a minority stake through its state-owned lender KfW, suggesting potential collaborative developments in the near future. Analysts note that the sale not only strengthens TenneT Germany’s financial base but also underscores a broader European trend: governments leveraging private and institutional investment to meet the continent’s pressing energy infrastructure needs.
Officials emphasized that the deal will allow TenneT Germany to continue reinforcing its grids during times of high renewable energy input, ensuring stability and reliability across the region. The Dutch government, meanwhile, achieves a strategic divestment goal while maintaining TenneT Germany’s operational independence and long-term development prospects. The successful conclusion of this deal is poised to influence cross-border energy collaboration and investment in Europe’s energy transition.