Cesp opens capital for sale and first interested parties appear
Gazeta Mercantil - 01/24/2008
At least 10 among the main groups of the energy sector of the Country are analyzing the information the Companhia Energética de São Paulo (Cesp) made available since yesterday on its Internet address. Among the interested parties are infrastructure investment funds and major industrial consumers. The information in the site is restricted to those interested in the purchase and to the investors of Cesp's, whose auction is scheduled for February 20th. The bidding rules, which should be published next Wednesday, will be published on the 8th, according to assistant secretary of the São Paulo State Treasury, George Tormin, in an announcement sent to the Brazilian Securities and Exchange Commission (CVM). Another important decision about Cesp was made on Tuesday by the director of the National Agency of Electric Energy (Aneel), Joísa Campanher, who recommended that the Ministry of Mines and Energy extended the concession of the hydroelectric plant of Porto Primavera to another 20 years. The term of the concession would end this year, on May 21st. Aneel's recommendation results from the fact that the company holds assets of R$ 12 billion (US$ 6.82 billion) related to the plant, which would depreciate throughout 40 years. Such decision from Aneel may draw more parties interested in the privatization of the company - one of the largest power generators of the country and responsible for 60% of the energy produced in the state and 10% of the energy generated in the Country. Altogether, Cesp includes six hydroelectric plants with installed capacity of 7,456 megawatts (MW) and 3,916 MW/average of guaranteed energy. The largest plant is the plant of Solteira Island, with 3,444 MW installed. Among the companies that showed interest Cesp's assets are: Energias do Brasil, Companhia Paulista de Força e Luz (CPFL), and the French-Belgian group Tractebel.