Qatar becomes largest sole shareholder in RWE

Qatar Investment Authority (QIA) has converted a mandatory convertible bond valued at EUR2.42 billion (US$2.55 billion) into shares of RWE AG, making it the company's largest shareholder. QIA now holds 67.6 million new ordinary shares or roughly 9.1% of RWE's total share capital. The bond was issued by RWE in October 2022 to finance its purchase of the clean energy operations of Consolidated Edison Inc for US$6.8 billion.

RWE's acquisition of Con Edison's clean energy operations led to the launch of Clean Energy LLC, a US subsidiary with 8 GW of renewable energy assets and a development pipeline exceeding 24 GW, after closing the deal at the beginning of March.

This conversion of QIA's bond into shares of RWE demonstrates the state-owned fund's confidence in RWE's strategic direction as a leading player in the global energy transition. QIA's purchase also highlights the attraction of European utilities to Gulf investors, as they seek out higher yielding investments.