San Diego-based Sempra Energy announced Friday that it has received all required governmental authorizations for the $3.59 billion sale of the company’s equity interests in its Peruvian businesses.
The sale to China Yangtze Power International Co. includes Sempra Energy’s 83.6% stake in Luz del Sur S.A.A and Inland Energy S.A.C., Luz del Sur’s energy generation business. Luz del Sur serves the southern region of Lima, Peru and is the largest electric company in the country.
The transaction also includes Tecsur, which provides electric construction and infrastructure services to Luz del Sur and third parties.
“(The sale) is another important step in strengthening Sempra Energy’s strategic mission to be North America’s premier energy infrastructure company,” said Dennis V. Arriola, executive vice president and group president of Sempra Energy. “We’re pleased that in spite of travel and logistics restrictions, all parties involved have been working closely together and we look forward to closing in April.”
Sempra Energy is also working toward selling its equity interests in its Chilean businesses, including its 100% stake in Chilquinta Energia S.A. and Tecnored S.A., to State Grid International Development for about $2.23 billion, subject to adjustments and satisfaction of closing conditions.
The two sales are expected to net Sempra Energy a total of $5.82 billion in cash proceeds, according to the company.
BofA Merrill Lynch and Lazard are serving as financial advisers to Sempra Energy on the sale to China Yangtze Power International and White & Case is serving as legal adviser.
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