Inside Infrastructure: Reflecting on 2025

As 2025 comes to a close, we’ve been reflecting on what an extraordinary year it’s been for the energy and infrastructure sector, and for our team at Freshfields. In a short space of time, we’ve welcomed fantastic new colleagues and clients, worked on truly market-defining transactions (more on that below), and helped clients navigate new opportunities in emerging asset classes. This year wasn’t just about transactions and trends; it was about working together, building trust, and navigating change side by side - with our clients at the heart of everything we’ve achieved. All of this has been made possible due to a dedicated Energy and Infrastructure team committed to delivering at the highest level and backed by the strength of our full-service Freshfields platform.

We’ve also had some fantastic opportunities to connect, from our inaugural Inside Infrastructure Forum with Alastair Campbell and Rory Stewart  inspiring big conversations about the future of infrastructure investments, to networking sessions (including our Energy & Infra associate event) and not forgetting this blog series that keeps you connected to sector trends wherever you are. 

We’re excited about what’s next and look forward to sharing more insights in 2026 - and as always, we’d love to hear from you to explore opportunities, share ideas, or simply stay connected. Until then, we leave you with highlights of the global themes that shaped 2025 and will continue to influence the year ahead.

Wishing you a restful holiday period and fantastic New Year ahead, 

Jessamy & Richard, on behalf of the Freshfields Energy and Infrastructure team

 1) Emergence of New Asset Classes 

The market’s perception of what constitutes infrastructure has been evolving for decades, expanding to encompass, amongst other things, a wide range of assets and technologies supporting the global energy transition (as explored in recent blog posts by partners James Chapman and Andreas Ruthemeyer assessing the challenges currently facing the carbon capture, utilisation and storage sector and hydrogen sector).

Infrastructure’s definition continued to expand in 2025, with investors increasingly allocating capital to data centres, EV charging networks, and cold storage as core assets. The year has brought many interesting conversations with clients about the opportunities presenting themselves in these emerging asset classes as AI adoption accelerates, electrification reshapes the transport sector, and globalised supply chains demand resilient storage solutions.

 2) Return of the Mega Deal

The year marked the return of blockbuster transactions, with Freshfields advising on numerous landmark deals. These included the USD 53 billion Teck Resources/Anglo American merger to create a global critical minerals champion—on which Freshfields' Co-Head of Infrastructure Jessamy Gallagher advised—approved by both sets of shareholders earlier this month and now awaiting regulatory clearance. The firm also advised on the multi-billion-dollar sale of Techem, led by partner Natascha Doll, and TotalEnergies’ acquisition of a 50 per cent stake in EPH’s 14+ GW portfolio of flexible power generation assets, led by Freshfields' Co-Head of Infrastructure Richard Thexton and partner Graham Watson. Together, these transactions signal renewed confidence in scale as a driver of resilience and growth in critical sectors.

  3) Takeoff in European Airport Sector Activity 

The tail end of 2024 presented opportunities for investors in the European airport space once again, including PSP Investments and AviAlliance’s acquisition of AGS Airports from Macquarie Asset Management for a value of c. GBP 1.53bn, on which partner Jessamy Gallagher advised. With passenger traffic across European airports growing 4.5 per cent. in the first half of 2025 – surpassing pre-pandemic levels and fuelling investment in capacity upgrades – M&A in the sector was truly back, including with high profile investors such as Ontario Teachers’ Pension Plan (advised by partner Richard Johnson) passing long-held stakes in Birmingham, Bristol and London City airports to Macquarie Asset Management, Brussels airport to Flemish investment company PMV, and Copenhagen airport to Danish pension fund ATP. 

 4) Full Steam Ahead in MENA

MENA is entering a transformative phase for infrastructure investment, with governments leveraging public-private partnerships to accelerate project delivery - steadily positioning them as the preferred model for mega real estate, transport, and utility projects. Regional investment plans such as Saudi Vision 2030, Dubai’s D33 strategy, Abu Dhabi Economic Vision 2030 and preparations for global events, such as the Riyadh Expo 2030 and the 2034 FIFA World Cup, are driving unprecedented spending. Clients are increasingly exploring opportunities within the region, and the year saw Freshfields engaged to advise on deals including the USD 1.5bn project financing for Hafeet Rail, the first rail link between Oman and the UAE.

  5) Digital Infrastructure and Data Centres

2025 marked an inflection point for digital infrastructure, with global data centre investment projected to hit USD 580bn – outpacing oil spending. AI-driven demand for hyperscale capacity and advanced cooling pushed operators to accelerate builds despite power and supply chain constraints. As explored by partner Alexander Watt in our recent blog post, these dynamics are reshaping investment strategies across the sector. This year has brought the largest data centre transaction to date, BlackRock's Global Infrastructure Partners' USD 40bn acquisition of Aligned Data Centres, which stands as strong evidence that major players are pivoting towards data centres as a key opportunity for investment.

  6) Resurgence of Nuclear Energy and SMRs

This year, the UK has led the charge in a nuclear revival, after a three decade decline in investment within the space. Freshfields partner Vanessa Jakovich advised on the landmark GBP 38bn Sizewell C project, and the UK committed to deploy a fleet of Rolls-Royce SMRs, purchasing a site in Wylfa, Anglesey for the first plant, alongside sweeping regulatory reforms to accelerate development across the sector. These moves aim to deliver gigawatts of low-carbon power and position the UK as a leader in modular reactor technology. This renewed momentum wasn't limited to the UK, and countries without existing nuclear programmes – including Singapore, Kenya, Estonia and Norway – are now actively considering nuclear to boost decarbonisation and energy security.

6) Focus on Fundraising

2025 set a new benchmark for infrastructure fundraising, which hit USD 200bn by Q3 – the strongest year on record. Renewables led the charge, while ‘core-plus’ strategies emerged as the dominant focus, reflecting investors’ appetite for higher returns. This shift aligns with the expanding definition of infrastructure, as capital flows into data centres, EV charging networks, and cold storage, which are increasingly being considered as core assets. The trend underscores a dynamic market where sustainability and digital transformation are reshaping investment priorities.

8) Mining Sector Activity

Critical minerals dominated mining headlines in 2025, with copper prices holding above USD 5 per pound and driving aggressive portfolio reshaping. While megadeals like the aforementioned Anglo American-Teck merger saw the creation of new globalised mining powerhouses, players like South32 streamlined their portfolio by disposing of their ferronickel operations in Colombia, which Freshfields partners Alon Gordon and Samira Afrasabi advised on, to focus on minerals and metals critical to the world’s energy transition. 

 9) Restructuring and Insolvency in Infrastructure

Construction remained the hardest-hit segment in 2025, with high-profile collapses like Buckingham Group halting major UK infrastructure projects and closing its doors. Rising material costs, cashflow pressures, and payment delays triggered a wave of restructurings, forcing lenders and credit funds to take centre stage in complex rescue plans.