Feb 17 (Renewables Now) - A unit of State Grid Corporation of China is seeking to buy the stake that it does not already own in Brazilian company CPFL Energia SA (BVMF:CPFE3) and take the company private.
In a letter from Wednesday, the Chinese company proposes to pay BRL 25.51 (USD 8.29/EUR 7.79) per share under the mandatory tender offer. State Grid completed in January the acquisition of controlling stakes in CPFL and its renewables unit CPFL Energias Renovaveis (BVMF:CPRE3) for BRL 17.36 billion.
CPFL and its renewable energy subsidiary are both listed in Sao Paulo, and the parent’s stock is also trading on the New York Stock Exchange (NYSE).
According to information on CPFL Energias Renovaveis’ website, it has 1.9 GW of installed renewable energy capacity, including 1.1 GW of wind parks. It also has projects of about 3 GW in various stages of development.
(BRL 1 = USD 0.33/EUR 0.31)