Allianz Global Investors (AllianzGI) has acquired an indirect stake in German electricity grid operator Amprion.
The German asset manager signed the agreement with Talanx Insurance Group on behalf of AllianzGI’s insurance companies and the Allianz European Infrastructure Fund II, the company said.
The deal is Allianz’s first direct equity investment in a German electricity grid.
Talanx is part of M31 Beteiligungsgesellschaft, a consortium of predominantly German institutional investors that holds a 74.9% stake in Amprion.
As part of the partnership, Allianz and Talanx plan to invest “significant” capital in the expansion of Germany’s second-largest electricity grid over the coming years, the company said.
Financial details were undisclosed.
Amprion is a leading transmission system operator in Europe with an extra-high-voltage grid spanning more than 11,000km and supplies electricity to around 29m people in Germany.
AllianzGI said that significant investment will be required over the next few years to construct or upgrade a total of 9,300km of power lines.
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