EDP Brasil sells €210 million worth of power assets

  • ECO News
  • 19 October 2021

The company has decided to sell three power transmission assets at an enterprise value of €210 million.

EDP Brasi, led by João Marques da Cruz, has decided to sell three power transmission assets at an enterprise value of R$131 million (€210 million) to Actis, according to a statement sent by the company to the Securities and Exchange Commission (CMVM). The transaction is still pending applicable regulatory approvals.

“Energias do Brasil, S.A. (“EDP Energias do Brasil” or “Company”), 52.64% held by EDP – Energias de Portugal, S.A. celebrated a sale agreement with Actis Assessoria Investimentos Ltda. to formalize the total disposal of a transmission portfolio composed by three transmission lines, with a total length of 439 Kilometers and R$131 million in Annual Allowed Revenue (“Receita Anual Permitida” – “RAP”), as follows: (i) EDP Transmissão S.A. (Lot 24), (ii) EDP Maranhão I S.A. (Lot 7), and (iii) EDP Maranhão II S.A. (Lot 11),” reads the statement.

“The total consideration for the transaction corresponds to an estimated enterprise value of R$1,329 million (€ 210 million, considering an exchange rate of 6.33 EUR/BRL), subject to restatement between the present date and the closing date,” the company added.

EDP also stated that the sale is part of “the asset rotation strategy in the transmission business in Brazil, defined in the business plan 2021-2025.”