The German energy group RWE will invest billions in sustainable energy projects in the United States. It is one of the largest green deals ever in the US. But there is also criticism.
An activist investor who has bought into RWE would rather see the energy company invest in the domestic energy sector.
With the deal worth approximately 6.8 billion dollars (almost 7 billion euros), RWE is doubling its energy portfolio in the US to more than 7 gigawatts. The transaction is made partly by the investment fund of Qatar, which will become a major shareholder of RWE with an investment of more than 2 billion euros. Qatar and Germany signed an agreement in May to intensify their energy cooperation.
But Benedikt Kormaier of investor Enkraft Capital, which holds about a million shares in RWE, is critical of the deal. According to him, RWE should focus on the German energy sector. “It is completely incomprehensible how Germany’s largest energy company can spend 7 billion euros on a deal in the US amid the biggest energy crisis Germany has ever seen,” Kormaier said.