APG (investing on behalf of Dutch pension fund ABP, among others) has reached an agreement with European grid operator TenneT, regarding an investment in TenneT Germany. Over time, APG will acquire a stake of approximately 11% in TenneT Germany. Together with the commitments of two other institutional investors, the Singapore sovereign wealth fund GIC and Norges Bank Investment Management (NBIM), the total commitment for the next four years amounts to €9.5 billion (46% of TenneT Germany). This capital will be used to expand TenneT Germany’s high-voltage grid in the years to come.
Ronald Wuijster, CEO APG Asset Management: “This investment serves multiple strategic goals. By acquiring a stake in TenneT Germany—a stable, regulated infrastructure asset in an AAA-rated country—we secure a relatively low-risk investment with stable, long-term cash flows for our client ABP and our partners. Additionally, it is an impact investment that supports Sustainable Development Goal 7 (Affordable and Clean Energy) and strengthens Europe’s infrastructure autonomy. This shows our expertise in large-scale infrastructure deals and our commitment towards helping our clients and partners reach their goals.”
Positive impact
This investment qualifies as an impact investment. By 2030, APG’s pension fund client, ABP, aims to commit at least €30 billion to investments that generate both strong financial and societal returns. It aims to invest €10 billion of this amount in investments that have a measurable positive impact on the energy transition and the climate. The investment in TenneT Germany contributes to ABP’s impact targets for 2030.
The risk of this investment is limited. The electricity network in this form will continue to be needed well into the future and, driven by the energy transition and increasing electricity demand, will grow significantly over the coming decades. Due to its strategic importance to national security and energy supply, the transmission network is classified as critical infrastructure.
As a fully regulated business, TenneT Germany is considered relatively low-risk and is expected to generate highly stable and predictable cash flows over the long term, making it a good fit for our long-duration return objectives.
The main rationales for APG Asset Management to do this transaction are:
- Europe’s energy transition is accelerating – driving demand for clean, secure, and flexible power infrastructure.
- APG Asset Management invests across the entire energy value chain – from renewables and storage, to grids and demand-side solutions – targeting assets that underpin the clean energy system of the future.
- APG’s approach is long-term and systemic: these investments are designed to deliver stable and predictable long-term value over time, while enabling a fundamental shift in how energy is produced, distributed, and consumed.
- By aligning capital with structural transitions, APG delivers over the long term for its clients – and contributes to a cleaner, more resilient energy system.
TenneT Germany owns about half of the German high-voltage electricity grid. It is part of TenneT Holding, which is owned by the Dutch state. To address TenneT Germany’s capital needs for the expansion and modernization of the grid for sustainably generated energy, the Dutch cabinet decided in 2024 to invite major investors to invest in the company.
Completion of the transaction is subject to customary conditions, including regulatory clearances, and is expected to take place in the first half of 2026.