Enel Peru sells assets to the Chinese CSGI for 2.9 billion dollars – Corriere.it

Enel Per has signed an agreement for the sale of the equity investments held in Enel Distribucin Per and Enel X Per to the Chinese CSGI for a total consideration of approximately 2.9 billion dollars, corresponding to approximately 4 billion in terms of enterprise value (referring to 100 %). Confirmation in a note from the same group.

4 billion of enterprise value

Enel For a subsidiary of Enel through the Chilean listed company Enel Amricas SA. The agreement provides for the sale to the Chinese China Southern Power Grid International (HK) Co., Ltd. (CSGI) of the entire stakes held in the electricity distribution and supply company Enel Distribucin Per and in the advanced energy services company Enel X For. CSGI will acquire Enel Per’s equity investments in Enel Distribucin Per (equal to approximately 83.15% of the latter’s share capital) and in Enel X Per SAC (equal to 100% of the latter’s share capital) against for a total consideration of approximately $2.9 billion, corresponding to approximately $4 billion in terms of enterprise value (referring to 100%). Furthermore, the total consideration is subject to adjustments which are usual for this type of transaction in consideration of the time which will elapse between the signing of the agreement and the completion of the transaction.

Debt reduction of approximately 3.1 billion euros

Overall, the transaction is expected to generate a reduction in the Group’s consolidated net debt of approximately 3.1 billion euros in 2023 and a positive impact in 2023 on the Group’s reported net income of approximately 500 million euros. On the other hand, the transaction does not have any impact on the Group’s ordinary economic results. The completion of the sale is subject to certain conditions precedent that are usual for this type of transaction, including the approval of the competent competition authority in Peru as well as the competent Chinese authorities in matters of foreign direct investment. The transaction is in line with the current Group Strategic Plan, which envisages the completion of the Group’s repositioning in the six core countries, specifically Italy, Spain, the United States, Brazil, Chile and Colombia, in order to enhance value creation .

Starace: Let’s maximize the investments made so far in Peru

For Francesco Starace, CEO and general manager of the Enel group, this transaction allows us to maximize the value of the investments made so far in PER in the digitization of the grid and in advanced energy services, continuing the implementation of the asset disposal plan announced in November on the occasion of the presentation of Enel’s Strategic Plan to the financial markets, and aimed at completing the process of rationalizing the Group, which has always been a cornerstone of our strategy. also thanks to the expertise and commitment of the colleagues who work in these companies that we are leaving buyers with an excellent portfolio of assets, which will continue to support the country’s sustainable development through automated digital networks and innovative energy solutions.