TenneT cancels talks with KfW over full sale of Germany unit

TenneT Holding, the grid operator in the Netherlands and parts of Germany, has formally ended talks with Kreditanstalt für Wiederaufbau (KfW) in connection with the potential full sale of TenneT Germany.

The transmission system operator (TSO) announced this on Thursday, saying that it is preparing structural funding alternatives for its German operations.

TenneT has been negotiating a transaction for TenneT Germany with state-owned development bank KfW for more than a year now. The announcement of the cancellation of talks on the matter comes after the German federal government informed the Dutch State that budgetary challenges will prevent such a deal from being agreed, the company mentioned.

In May, TenneT said it was getting ready to tap into public or private capital markets for a structural funding solution for the German unit.

The latest announcement notes that TenneT remains fully committed to delivering its investment plans in both countries. Just recently, the Dutch State provided TenneT with a EUR-25-billion (USD 26.8m) shareholder loan for the years 2024 and 2025.

(EUR 1.0 = USD 1.072)

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