TenneT Holding has reached an agreement with the German government, represented by the state-owned development bank Kreditanstalt für Wiederaufbau (KfW), under which the German government will acquire a 25.1 % equity stake in TenneT Germany for approximately €3.3 billion (US$4 billion). TenneT Germany is the German subsidiary of the Dutch-owned electricity transmission operator TenneT, which manages a large portion of Germany’s high-voltage grid infrastructure and plays a central role in connecting renewable energy to the national grid. The deal comes as part of broader efforts to secure long-term financing for the expansion and modernisation of Germany’s electricity transmission network, which will require substantial investment to support the energy transition, especially in integrating offshore wind and other renewable electricity sources. 

TenneT Holding will keep a minimum 28.9% stake in TenneT Germany, ensuring it remains fully involved in key decision-making. Most of the operational synergies between TenneT Netherlands and TenneT Germany will continue, as the two businesses are working together on major infrastructure projects linking North Sea wind farms to the wider European power grid. TenneT is advised on the transaction by ABN AMRO Bank and Lazard as financial advisors and by De Brauw Blackstone Westbroek and Hengeler Mueller as legal advisors. KfW is
advised on the transaction by Citi as financial advisor and by CMS as legal advisor.