Nebreda added that AES Tiete will focus on possible wind energy acquisitions and seek out long-term contracts to develop renewable energy plants that provide power directly to clients
SAO PAULO: U.S.-based energy company AES Corp will accelerate its expansion in Brazil’s renewable energy sector via its subsidiary AES Tiete Energia SA , after agreeing to partially acquire Brazilian state development bank BNDES’ stake in the unit for 1.27 billion reais ($52.21 million).
“The operation confirms our trust in the Brazilian market and in Brazil’s economy,” Julian Nebreda, who heads AES Corp in South America, told Reuters. “Tiete’s model represents the future of the electric sector and is what AES wants to do globally.”
Nebreda added that AES Tiete will focus on possible wind energy acquisitions and seek out long-term contracts to develop renewable energy plants that provide power directly to clients.
AES Tiete will also move to the Novo Mercado segment of Sao Paulo’s stock exchange, which has higher corporate governance standards, including prohibiting companies from issuing preferred shares.
Nebreda says AES Tiete plans to exchange shareholder’s preferred shares for common shares at a 1-to-1 ratio.
Source: reuters
