Budgetary challenges bring discussions on full sale of TenneT Germany to KfW to a halt

Discussions between Dutch/German Transmission System Operator (TSO) TenneT and Kreditanstalt fur Wiederaufbau (KfW), acting on behalf of the federal Government of Germany, on a full sale of TenneT Germany have been terminated.

The announcement comes after the Federal Government of Germany has informed the Dutch State that it cannot deliver on the planned transaction due to budgetary challenges.

TenneT announced in February 2023 that it was exploring the potential sale of its German activities to the German State. The reason brought forward at that time was the rise in TenneT’s equity need for this decade in order to deliver on the ambitious energy transition targets.

TenneT Holding prepares tapping into public or private capital markets for a structural funding solution for its German operations.

In the meantime, Tennet remains fully committed to executing its large investment plans in both countries, backed by the Dutch State which recently provided TenneT a EUR 25 billion shareholder loan for the years 2024 and 2025. Source: TenneT

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