Duke Energy completes sale of Brazilian businesses for $1.2 billion
Linus Unah – Fourth Estate Contributor
Charlotte, NC, United States (4E) – U.S. energy company Duke Energy has completed the sale of its international business in Brazil to China Three Gorges Corp. for about $1.2 billion.
The Charlotte, North Carolina-headquartered electric power holding company said Thursday that it was leaving the Latin American market to focus on its domestic regulated business.
Duke Energy also completed the sale of its assets in Peru, Chile, Ecuador, Guatemala, El Salvador and Argentina to New York-based private equity firm I Squared Capital last Tuesday.
Thursday’s announcement means the company has now sold all its power operations in Central and South America.
“Today marks a significant milestone in the strategic transformation of our company,” said Duke Energy’s president and CEO Lynn Good.
“We completed these transactions ahead of schedule and are now fully focused on growing our regulated businesses in 2017 and beyond, including the natural gas platform.”
The transactions with China Three Gorges Corp. and I Squared Capital are expected to generate available cash proceeds of about $1.9 billion,
This excludes transaction costs and subject to working capital adjustments, which will be used to reduce Duke Energy holding company debt.
Existing federal tax attributes will result in no immediate U.S. tax impacts, the company said.
Article – All Rights Reserved.
Provided by FeedSyndicate