BNDES hires BR Partners as advisor on possible sale of AES Tiete stake

BNDES Participacoes SA (BNDESPar) has hired BR Partners as its financial advisor to help sell its 28.4% stake in power company AES Tiete Energia SA (B3:TIET11).

Hired through a selection process, BR Partners will search for potential investors interested in acquiring the shares, the investment arm of national development bank BNDES said on Tuesday, stressing that it has not yet made a definitive decision to part with its shareholding.

As an advisor, BR Partners will also conduct an independent economic assessment and a broad study of a potential sales model, including the possibility of mergers and acquisitions (M&A).

This move comes after AES Tiete's recent rejection of a merger proposal made by Brazilian energy company Eneva SA (B3:ENEV3). On March 1, Eneva made a binding offer of about BRL 6.6 billion (USD 1.2bn/EUR 1.1bn) to AES Tiete's shareholders. The target company turned down the proposal, citing the incompatibility of the two businesses.

(BRL 1 = USD 0.190/EUR 0.169)

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