CADE okays Brennand's buyout of wind JVs with Eletrobras

Brazilian wind farm. Author: Carla Wosniak. License: Creative Commons, Attribution 2.0 Generic

Brazil's Administrative Council for Economic Defense (CADE) has approved without restrictions the acquisition by Brennand Energia of the stakes it does not already own in 254.5 MW of wind power capacity.

The seller is Brazilian electric utility Centrais Eletricas Brasileiras SA (BVMF:ELET3), better known as Eletrobras.

According to CADE, this transaction is not expected to cause damage to competition due to the low participation of Brennand in Brazil's wind energy market.

The deal was struck in September when Eletrobras sold its interests in 64 special purpose entities (SPE) that held wind and transmission assets. At the time, Eletrobras unveiled that the value of its deal with Brennand amounts to BRL 232.6 million (USD 59.5m/EUR 52.4m).

In all, Brennand is taking full ownership of eight SPEs that represent wind farms forming three wind power complexes. The table below gives more details about the SPEs and the assets.

Name of SPE	Wind park capacity	Eletrobras' interest
Baraunas I Energetica SA	32.9 MW	49%
Morro Branco I Energetica SA	32.9 MW	49%
Mussambe Energetica SA	32.9 MW	49%
Pedra Branca SA	30 MW	49%
Sao Pedro do Lago SA	30 MW	49%
Sete Gameleiras SA	30 MW	49%
Baraunas II Energetica SA	32.9 MW	1.5%
Banda de Couro Energetica SA	32.9 MW	1.7%