Investment of $3.8 Billion by Apollo to Grow Partnership with RWE in the Expansion of the German Power Network

Global alternative investment manager Apollo has announced a significant commitment of €3.2 billion (approximately USD$3.8 billion) towards funding investments in the expansion of the transmission grid in Germany. The partnership in this venture is with German power producer RWE.

The new joint venture, established to finance the expansion of Amprion's transmission network, will hold and fund RWE's 25.1% stake in Amprion, one of Germany's four Transmission System Operators (TSO). Amprion operates the transmission grid across seven German federal states, serving approximately 29 million people.

Despite the partnership, RWE's majority stake in Amprion's parent company, Open Grid Europe, remains unchanged. The operational control of the venture will remain with RWE, aligning with the company's strategy to grow its generation portfolio of renewables, batteries, and flexible generation assets.

RWE has stated that this partnership is in line with its strategy, as it intends to focus on its core activities of power generation and energy trading. Apollo, on the other hand, will focus on delivering capital solutions for grid expansion, which is essential to facilitating the energy transition in Germany.

The investment program is aimed at enhancing critical energy infrastructure essential to facilitating the energy transition in Germany. This partnership is a part of Apollo's focus on delivering tailored capital solutions to leading global companies and essential infrastructure.

The new joint venture does not affect RWE's 76.8% stake in Open Grid Europe. Apollo's partnership with RWE underscores its commitment to strong, lasting partnerships across both the private and public sectors.

This development marks a significant step in Apollo's plans to further accelerate its investment activity in Europe, with a particular focus on Germany, France, Italy, and the UK. The funds will help support Amprion's major investment program for grid expansion over the next decade, aiming to power homes and industry in Germany.

The name of the joint venture between Apollo and RWE is not explicitly mentioned in the available sources. However, the partnership and the commitment of funds for RWE's stake in Amprion are confirmed. The new joint venture does not affect RWE's operational control of the venture with Apollo.

This partnership between Apollo and RWE is a testament to the growing trend of private investment in renewable energy and infrastructure projects, contributing to a more sustainable future.

Investment of $3.8 Billion by Apollo to Grow Partnership with RWE in the Expansion of the German Power Network