China Power negotiates to buy up to 5 pct of Portuguese power company EDP

19 July 2011

Lisbon, Portugal, 19 July – China Power is in talks to acquire a stake of between 2.5 percent and 5 percent of Portuguese power company Energias de Portugal (EDP), as part of the Portuguese company’s privatisation process, the Dow Jones news agency reported.

Citing a source close to the process, Dow Jones said that, “China Power International is very interested in EDP’s international asset portfolio, which includes wind assets in the US and investments in Brazil.” The value of the potential deal was not given.

In November of last year, during an official visit to Portugal by China’s president, Hu Jintao, EDP announced that CPI was interested in being a shareholder.

At the time, the two companies also signed a cooperation agreement for projects in Asia, Africa, Europe and Brazil. The agreement also extended to Macau power company CEM, which had just renewed its concession contract for transmission, distribution and sale of electricity in Macau for a further 15 years.

Other groups that have been identified by the media as having interest in buying a stake in EDP are Brazil’ Eletrobras and Spain’s Iberdrola. (macauhub)