Brazilian energy distribution company Eletropaulo acquired by Italian group Enel

5 June 2018

Shareholders of energy distribution company Eletropaulo Metropolitana Eletricidade de São Paulo accepted an acquisition offer put forward by Enel Brasil Investimentos Sudeste, a subsidiary of Italian group Enel and sold more than 122.7 million shares, or 73% of the total, for 5.5 billion reais (US$1.464 billion), the Brazilian press reported.

With this purchase, held at a stock exchange session to determine the results of the Public Offering (OPA), Enel became the largest electricity distribution company in Brazil, overtaking CPFL Energia, which is 94.76% owned by State Grid Brazil Power Participações, a subsidiary of the China State Grid group.

The takeover bid allowed Enel, which has distribution operations in the Brazilian states of Rio de Janeiro, Goiás and Ceará, to add 7 million people to its customer base in 24 cities.

Eletropaulo Metropolitana Eletricidade de São Paulo was the target of two takeover bids, one put forward by Enel and another by Spanish group Iberdrola, through Neoenergia, which offered 45.22 reais and 39.53 reais per share, respectively. (macauhub)