A2A Boosts Investment to €23B, Eyes Data Centre Expansion

Italian energy and utility giant A2A has unveiled a major boost to its long-term investment strategy, increasing projected spending for 2024-2035 to €23 billion ($27 billion). A notable €1.6 billion of this total is earmarked for creating and managing data centres, reflecting the company’s move to tap into Italy’s growing digital infrastructure market.

The updated plan represents a €1 billion increase in planned investments and slightly raises financial targets for the final years of the strategy. Despite the growth plan, A2A confirmed it will maintain a minimum annual dividend growth of 4%, signalling steady returns for shareholders.

Shares of A2A fell by 6% early Wednesday at 0840 GMT, while Milan’s benchmark index climbed, with traders citing cautious estimates for next year as the reason for the stock drop. Over the past month, however, A2A stock has gained around 14%, showing investor confidence in its long-term strategy.

Strategic Advantage in Lombardy

Northern Italy’s Lombardy region, home to financial hub Milan and industrial center Brescia, is witnessing a surge in demand for digital infrastructure. A2A’s established presence, along with recent acquisitions of electricity networks in the area, positions it to actively support the roll-out of data centres, a segment expected to add approximately two gigawatts of capacity over the next five years—a tenfold increase from current levels.

Financial Snapshot

A2A, which operates across energy and waste management sectors, reported a 4% decline in nine-month core profit to €1.73 billion ($2 billion) year-on-year, primarily due to lower hydroelectric production. Despite this, the company’s strengthened investment plan signals confidence in future growth, especially in digital energy solutions and infrastructure.