FRANKFURT, March 26 (Reuters) - Allianz SE's asset management unit will acquire a stake in electricity grid operator Amprion in a deal with insurer Talanx to help fund major grid upgrades as Germany
Allianz Joins Talanx in Funding Amprion’s German Power Grid Expansion
Major Investment in Germany’s Electricity Infrastructure
Allianz and Talanx Collaboration
FRANKFURT, March 26 (Reuters) - Allianz SE's asset management unit will acquire a stake in electricity grid operator Amprion in a deal with insurer Talanx to help fund major grid upgrades as Germany transitions to renewable electricity.
In a joint statement, Allianz Global Investors and Talanx said they plan to invest "significant capital in the expansion of Germany’s second-largest electricity grid".
Details of the Stake Acquisition
Allianz's European Infrastructure Fund II would acquire an "indirect stake" from Talanx, which is a member of the M31 consortium that holds 74.9% in Amprion, according to the statement.
The companies declined to disclose the deal's size or terms.
Background and Market Context
Talanx signalled last week it plans to reduce its stake in Amprion. Sources told Reuters last month that major owners of the grid operator were considering selling their stakes to new investors.
Renewable Energy Transition and Funding Needs
The growing role of intermittent solar and wind energy is creating funding needs for networks across Europe. Amprion plans to invest more than 36 billion euros ($41.60 billion) by 2029.
Financial Details
($1 = 0.8654 euros)
Reporting Credits
(Reporting by Ludwig Burger and Alexander HuebnerEditing by Madeline Chambers)
