May 10 (Renewables Now) - Brazilian renewables firm Renova Energia SA (BVMF:RNEW11) announced today it has ended negotiations with Brookfield Energia Renovavel regarding the potential sale of certain wind assets, without reaching a deal.
Renova stated that it could not agree the final terms of the transaction with the local subsidiary of Canada's Brookfield Asset Management Inc (TSE:BAM.A).
The deal falls apart a few months after the Brazilian company decided in favour of accepting the BRL-650-million (USD 200m/EUR 163.3m) primary contribution proposal from Brookfield Energia. That proposal concerned the Alto Sertao III wind complex, currently with 433 MW in already signed power purchase agreements (PPAs) and 288 MW that took part in the December 2017 energy auction, as well as 1.1 GW of other wind generation assets under development. Depending on the final capacity of Alto Sertao III, the seller could have received an earn-out of BRL 150 million.
Renova also informed today that it is now working with its controlling shareholders on a new restructuring plan.