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European rating agency. Objective, transparent, independent.

TenneT Holding B.V.

Rating History

Rating Watch Outlook Decision Date Action Validity Date Maximum Validity
A Outlook STA 17.11.2021 23.11.2021


  • 23.11.2021
    Creditreform Rating has set the initial unsolicited corporate issuer rating of TenneT Holding B.V. at A. The outlook is stable. This attests to the company's high creditworthiness and low risk of default. The rating result is based on TenneT´s low business risk profile, which is backed by the supportive regulatory frameworks in the Netherlands and Germany and further enhanced by its natural monopoly position in its grid area, as the only TSO in the Netherlands and one of four in Germany. These circumstances lead to relatively predictable revenues, cash-flows, and to a stable financial performance altogether. These factors are partially offset by the rising investment needs, which have led to negative free cash-flows and an increasing indebtedness over the past few years. The Group expects investments to increase to EUR 5 – 6 billion annually over the next years, which will put the Group´s financial figures under further pressure. If TenneT does not take appropriate actions, its financial profile will deteriorate, leading to a situation where its current rating will not be sustainable. However, TenneT is looking for durable equity solutions to maintain its current financial profile. The Group´s high systemic importance, as well as its close relationship with the Dutch government, has a positive influence on the rating. This is confirmed by capital contributions made in the past by the Dutch state. Additionally, in order to maintain its current financial profile the Dutch government has budgeted further capital contributions from 2023 to 2025.