A PYMNTS Company

Brazil: CADE approves sale of CELG to Enel Brazil

By  |  February 21, 2017

Italian multinational Enel’s Brazilian branch has closed a deal to purchase 94.8% of the CELG Distribução distribution company for $640 million USD. The remaining 5% of the company will be offered to CELG employees and pensioners, while Enel will retain the option to buy any stocks not bought by employees.

The deal was approved last Thursday by Brazil’s competition authority CADE, as well as the National Electric Energy regulator, ANEEL. The move will boost Enel’s client base to 10 million from 7 million, bringing its customer base to a worldwide total of over 65 million people.

“With this transaction, we will expand our presence in the Brazilian energy distribution sector, making Enel Brazil the country’s second largest distributor. Also, after Italy and the Iberian peninsula, Brazil is now the third largest market for our group in terms of clients” said Enel Group’s CEO, Francesco Starace.

Full Content: Energy Infrastructure

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.