APG has acquired a 16.8% interest in Ausgrid on behalf of its pension fund clients ABP and PPF. The company operates the largest electricity grid on Australia's east coast, supplying more than 4 million Australians with electricity. The company is expected to play a critical role in the energy transition and contribute to further carbon emission reductions.
The network down under uses intelligently connecting renewable energy and storage solutions to the existing network. In addition, it has a strongly growing activity in intelligent energy meters that enable households to properly monitor their energy consumption.
It sees itself playing an important role in the energy transition in Australia. Therefore this investment is classified as an SDI (Investment contributing to the UN Sustainable Development Goals) and thus contributes to responsible investment objectives of APG's pension fund clients.
Hans-Martin Aerts, Head of Infrastructure at APG Asset Management Asia, said: “We are pleased to become an investment partner in Ausgrid. We see this asset as a great addition to our clients' investment portfolio. Ausgrid is expected to play a critical role in the energy transition and contribute to further carbon emission reductions. We look forward to working with our partners to ensure a long-term, stable and responsible investment return for our clients.”
APG acquires the stake from peer Australian Super, which will remain a shareholder with a smaller stake. The agreement was signed today. Closing is expected at the end of June.