Brazil rejects terms of energy buyout

Source:Agencies-Global Times Published: 2018/2/22 21:43:40

Brazil's securities regulator has rejected the proposed price of 12.2 reais ($3.47) per share for a buyout offer to minority shareholders to delist CPFL Energia Renovaveis, a securities filing showed.

Regulator CVM said equal treatment for the minority shareholders would mean a price at least equal to 16.69 reais per share.

CPFL Energia Renováveis said that China's State Grid, which took a majority stake in the company earlier this year, would appeal the ruling.

State Grid paid 14.2 billion reais to buy the CPFL stake from construction company Camargo Correa, which was raising funds amid a financial crisis triggered by an investigation into suspected corruption.

Posted in: COMPANIES

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