Brazil's Eneva ponders new bid for AES Tiete

The management of Brazilian energy company Eneva SA (B3:ENEV3) is analysing the possibility of making a new business combination proposal to peer AES Tiete Energia SA (B3:TIET11).

Eneva announced this in response to a recent news article about that possibility. The suitor said it has been considering such a move since BNDES Participacoes SA (BNDESPar) unveiled last month it had hired BR Partners as its financial advisor to help sell its 28.4% stake in AES Tiete.

"However, at this time there is no definition regarding the terms and conditions of a potential proposal, nor any decision of the Board of Directors as to the topic," Eneva said in its securities filing.

On March 1, Eneva made an initial 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, which resulted in Eneva deciding to end talks on May 18.

(BRL 1 = USD 0.188/EUR 0.167)

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