Allianz Global Investors (AllianzGI) has signed an agreement, on behalf of Allianz insurance companies and the Allianz European Infrastructure Fund II, to acquire a 50% stake in a portfolio of 11 battery storage projects in Germany from TotalEnergies.
The portfolio has a total capacity of 789 MW / 1,628 MWh, with the partners committing an overall investment of €500 million in Germany’s energy infrastructure. Around 70% of the investment will be financed through debt, according to the companies.
The projects are located across Germany and have been developed by Kyon Energy, a subsidiary of TotalEnergies and a German battery storage developer. All 11 facilities are expected to become operational by 2028, with TotalEnergies remaining the operator of the assets.
The battery storage systems are designed to strengthen the resilience of Germany’s electricity grid by easing congestion and providing flexibility to support the country’s expanding renewable energy capacity.
“We are delighted to welcome Allianz, a first-class partner in Germany, as a shareholder in 11 of our battery storage projects, representing a total capacity of nearly 800MW. This transaction enables us to optimise our capital allocation in our integrated power activities and helps improve the sector’s profitability. This operation will help us strengthen our development momentum in Germany,” said Stéphane Michel, President Gas, Renewables & Power at TotalEnergies.
AllianzGI said the transaction marks its first direct equity investment in a portfolio of battery storage assets, expanding its infrastructure exposure beyond wind and solar projects.
“The shift to cleaner energy depends on strong infrastructure. This investment marks Allianz’s first direct equity commitment to a portfolio of battery storage projects. As a pioneer in energy transition investing for more than 20 years with a portfolio spanning wind and solar farms, green hydrogen platforms, and an electricity interconnector, we are very delighted to partner with Total Energies on this important project in one of our home markets, Germany. These eleven projects across Germany with a capacity of nearly 800MW upon completion will help reinforce the country’s energy resilience, accelerate the energy transition, and deliver long-term value for our clients,” said Édouard Jozan, Head of Private Markets at Allianz Global Investors.
Completion of the transaction remains subject to customary regulatory approvals and closing conditions.
