Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

CPFL Said to Be Among Would-Be Buyers of Energisa Assets

Aug. 20 (Bloomberg) -- CPFL Energias Renovaveis SA and Neoenergia SA are among companies that expressed interest in buying Energisa SA’s power generation unit in Brazil, two people with knowledge of the matter said.

The assets -- including small hydroelectric plants and thermoelectric, biomass, solar and wind plants -- are valued at 500 million reais ($223 million) to 1 billion reais, they said, asking not to be named because talks are private. Energisa, a Cataguases, Minas Gerais-based company with a market value of 3.22 billion reais, hired Goldman Sachs Group Inc. to sell the unit, the two people said.

Cia. Energetica de Minas Gerais, the Belo Horizonte-based utility known as Cemig, is another prospective buyer, one of the people said. Electra Energy is also analyzing documents, with a shortlist of would-be buyers to be finalized by the end of the month before a second round of talks, the other person said.

CPFL Energias Renovaveis rose 1.1 percent at 12 p.m. in Sao Paulo, while Cemig advanced 1.9 percent. Energisa shares were unchanged.

Energisa hasn’t made any decision on the sale, it said in an Aug. 11 regulatory filing. Exame magazine reported on July 31 that it hired Goldman Sachs.

“Energisa always analyzes options to improve its capital structure, including capital increases and selling assets,” the company said in an e-mailed response to questions from Bloomberg.

Cemig, Electra and Neoenergia declined to comment on the possibility of a transaction with Energisa, while CPFL said it doesn’t comment on market speculation. Michael DuVally, a spokesman for Goldman Sachs, declined to comment in an e-mail response to questions.

To contact the reporters on this story: Cristiane Lucchesi in Sao Paulo at clucchesi5@bloomberg.net; Paula Sambo in Sao Paulo at psambo@bloomberg.net; Jonathan Levin in Sao Paulo at jlevin20@bloomberg.net

To contact the editors responsible for this story: James Attwood at jattwood3@bloomberg.net; David Scheer at dscheer@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.