en.Wedoany.com Reported - ENGIE Brasil Energia has completed a follow-on offering on B3, Brazil's main stock exchange, acquiring a 40% stake in the Jirau hydropower plant previously held by ENGIE Brasil Participações. This marks the largest corporate transaction in the company's history. The total offering amounted to R$8.36 billion, with R$2.62 billion raised from the market and R$5.74 billion corresponding to the contribution of the Jirau hydropower plant stake. The issue price was R$30.50 per share, with approximately 274 million new common shares issued. Following the transaction, the hydropower plant began contributing to ENGIE Brasil Energia's results, strengthening the company's cash flow generation capacity.
Maurício Bahr, Chairman of the Board of Directors of ENGIE Brasil Energia, stated that this transaction is the largest ever in the Brazilian electricity sector. All steps were conducted with transparency, rigorous technical standards, and adherence to best governance practices, ensuring independence and protecting the interests of all shareholders through a structured process. The overwhelming approval from minority shareholders reinforced confidence in the company's strategy, enabling it to safely advance to the next phase of its growth journey.
The transaction was structured under high governance standards, executed by a special committee of independent related parties, with the equity value supported by an independent fair value report. It was approved at an extraordinary general meeting where only minority shareholders had voting rights. This move consolidates ENGIE Brasil Energia's renewable energy portfolio by expanding its stake in hydropower generation and enhancing the complementarity among its hydropower, wind, solar, and transmission assets. This configuration helps strengthen the company's operational and financial resilience, with hydropower providing operational flexibility and reliability to the power system while bringing greater stability to business results.
Eduardo Sattamini, CEO of ENGIE Brasil Energia, noted that the success of this transaction is the result of a carefully crafted strategy aimed at strengthening the portfolio and creating long-term value. Incorporating the Jirau hydropower plant stake expands the company's balance among renewable sources, adding hydropower flexibility—which is crucial for meeting peak electricity demand—and bringing greater operational resilience. At the same time, this move strengthens the company's capital structure, expands its capacity to invest in future opportunities, and contributes to advancing the energy transition.
