Apollo has committed €3.2 billion in equity to a joint venture with RWE to enhance Germany's energy infrastructure by funding Amprion's grid expansion initiatives.

Target Information

Apollo Global Management, a prominent investment firm based in New York, has announced a significant investment in a joint venture with RWE, Europe’s largest power producer. The joint venture involves an equity commitment of €3.2 billion and will operate under RWE’s control. This partnership will specifically manage and fund RWE’s 25.1% stake in Amprion, one of Germany's key Transmission System Operators (TSOs) that serves approximately 29 million residents and industrial clients across seven federal states.

The joint venture aims to secure the necessary capital for Amprion's extensive grid expansion initiative, which is planned over the upcoming decade. This investment is aligned with enhancing the essential energy infrastructure in Germany and is expected to yield stable, regulated returns due to Amprion's regulated asset base.

Industry Overview

Germany's energy sector is undergoing a significant transformation as it shifts towards renewable energy sources. The country's ambitious energy transition strategy, known as the Energiewende, aims to reduce carbon emissions and