RWE’s Surprise Profit Boost from UK Data-Center Sale Highlights AI and Crypto Demand

RWE AG posted an unexpected £200 million profit from the sale of a UK data-center project, providing a significant lift to its nine-month earnings. The buyer, rumored to be a major cloud provider powering AI and crypto operations, remains unnamed. This deal pushed RWE's adjusted EBITDA to €3.48 billion ($4.06 billion), surpassing analyst expectations despite a 13% year-over-year decline.

The transaction, finalized in October but included in January-September results, underscores the soaring demand for energy-intensive data centers. Hyperscalers like Google and Amazon are aggressively expanding their footprints, driving a land rush for power-hungry facilities. RWE's stock surged 4.6%, reaching levels not seen since April 2011.

Analysts at Jefferies note the strategic rationale behind the sale. Former coal plants, like RWE's UK site, are becoming prized assets as AI and crypto mining operations demand unprecedented energy resources. The deal exemplifies how traditional energy players are capitalizing on the digital infrastructure boom.