SWITZERLAND Trends and Developments Contributed by: Nicolas Wehrli and Melanie Wilhelm, Loyens & Loeff
with an emphasis on expanding energy efficiency and connectivity within Switzerland and across Europe. Private equity and institutional investors have also increased their presence in the energy and infrastruc- ture sectors. Attracted by steady, predictable cash flows, several private equity firms have invested in renewable energy and essential infrastructure in Swit- zerland. Their involvement is expected to grow, with acquisitions aimed at capitalising on Switzerland’s infrastructure transition and the rising demand for sustainable energy solutions. Key drivers in Swiss energy and infrastructure M&A Energy transition M&A activity in Switzerland’s energy and infrastructure sectors is primarily shaped by four key drivers, often referred to as the “Four Ds” of the energy transition: decarbonisation, digitalisation, decentralisation, and deregulation. • Decarbonisation – Switzerland’s commitment to achieving net-zero emissions by 2050 is a major catalyst for M&A activity. The Swiss CO₂ Act and participation in the Emissions Trading System (ETS) provide a robust framework for carbon pricing and incentivise emission reductions. As a result, com- panies are proactively acquiring renewable energy assets – including solar, wind, hydropower, and biomass – to align with national climate goals and strengthen their market position. • Digitalisation – technologies such as artificial intelli- gence, big data, and predictive analytics are trans- forming how energy is produced and managed. The adoption of smart systems enables companies to optimise renewable output, reduce inefficiencies, and enhance grid reliability. These advancements are fuelling M&A in digital energy platforms and smart grid technologies, as firms seek to remain competitive in a rapidly evolving sector. • Decentralisation – Switzerland is moving from centralised power generation to more distributed energy systems. Local energy communities and prosumer (where the consumer and producer are one and the same) models are gaining trac- tion, driving M&A activity in small-scale renewable installations and energy-sharing platforms. This
shift empowers consumers and encourages inno- vation in distributed energy solutions. • Deregulation – the Swiss Electricity Supply Act is opening the market to greater competition by allowing large consumers to choose their electricity providers. Full market liberalisation is expected to further stimulate M&A by expanding opportunities for new entrants and fostering innovation. Compa- nies are positioning themselves to capitalise on a more dynamic and competitive energy market. Cross-border M&A and integration Switzerland’s central location in Europe, combined with its integration into the EU electricity market, makes cross-border M&A a strategic priority for Swiss energy and infrastructure companies. Swiss firms are actively acquiring renewable assets and forming partnerships across Europe to participate in energy trading and infrastructure development. This trend is further reinforced by the EU’s decarbonisation goals and the growing emphasis on interconnected energy systems. In addition to energy, Swiss infrastructure investors are expanding into transport and digital infrastructure projects abroad. By leveraging Switzerland’s recog- nised engineering expertise and strong sustainabil- ity credentials, these investors are well-positioned to compete for opportunities and drive innovation in international markets. Sustainability and ESG-driven investments ESG considerations are at the core of Swiss M&A strategies, with investors increasingly prioritising green assets and technologies that support the ener- gy transition. Financial institutions, pension funds, and private equity firms are systematically integrating ESG criteria into their investment decisions, which is driv- ing sustained demand for sustainable infrastructure and shaping deal activity across the market. In the construction sector, M&A activity is particularly focused on energy-efficient buildings, smart city ini- tiatives, and sustainable transport solutions. Govern- ment incentives and Switzerland’s climate neutrality goals are further encouraging private sector invest- ment in green infrastructure, accelerating the shift toward a more sustainably built environment.
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