September 19 (SeeNews) - French utility Engie SA’s (EPA:ENGI) Brazil-based unit has reached a BRL-2.2-billion (USD 419m/EUR 421m) deal to sell its Pampa Sul thermoelectric power plant located in the municipality of Candiota to investment funds controlled by US investment firm Starboard and Brazilian peer Perfin.
The transaction is being carried out by Engie Brasil Energia, while the acquirers are Grafito and Perfin Space X. Its total value includes a price tag of BRL 450 million for the asset and the assumption of about BRL 1.8 billion in debt.
Pampa Sul has an installed capacity of 345 MW. It is the last coal-fired asset in Engie Brasil Energia’s portfolio.
The divestment is aligned with Engie's strategy to achieve a 100% renewable portfolio to become the largest clean energy company in the Brazilian electricity generating sector, the French firm said in the press release.
(BRL 1 = USD 0.190/EUR 0.191)