Apollo-managed funds and affiliates have agreed to provide €3.2 billion in equity for a newly created joint venture (JV) with RWE. The JV, to be controlled operationally by RWE, will hold and fund RWE’s 25.1 per cent stake in Amprion, a transmission system operator (TSO) covering seven German federal states. The equity will be used to support Amprion’s investment programme for grid expansion over the next decade.
The transaction is subject to regulatory clearance and customary closing conditions. Completion is expected in the fourth quarter of 2025. Furthermore, the JV will be supported by stable dividend flows from Amprion’s regulated asset base. For RWE, the partnership aligns with its plans on expanding renewable generation, battery storage, and flexible generation assets, alongside power generation and energy trading. Latham & Watkins LLP and Paul, Weiss, Rifkind, Wharton & Garrison LLP are acting as legal counsel to the Apollo funds for the transaction.
Earlier this month, RWE secured €551 million in funding from the Netherlands Enterprise Agency (RVO) for its 100 MW electrolysis project in Eemshaven. The funding was provided under the Dutch government’s Sustainable Energy Production and Climate Transition Incentive Scheme.