November 15 (Renewables Now) - Brazilian utility Cia Energetica de Minas Gerais SA (BVMF:CMIG4), better known as Cemig, has agreed to sell its entire stake in renewables developer Renova Energia SA (BVMF:RNEW11) to AP Energias Renovaveis, an investment fund managed by Mantiq Investmentos Ltda.
The price was agreed at BRL 60 million, including credits held by the utility in Renova, Cemig announced on Friday. The shares being sold belong to Cemig's subsidiary Cemig Geracao e Transmissao (Cemig GT).
Under the terms, Cemig GT has the right to receive an earn-out subject to future events. The closing of the transaction is subject to conditions, including the approval of creditors holding real guarantees listed in Renova's Judicial Recovery Plan.
The renewable energy company filed for bankruptcy in October 2019.