June 4, 2019 / 9:06 PM / 11 days ago

UPDATE 1-Brazil regulator blocks sale of wind complex by Renova to AES Tietê

(Updates with Renova comment)

SAO PAULO, June 4 (Reuters) - Brazil's power sector regulator ANEEL rejected on Tuesday the proposed transfer of wind power complex Alto Sertao III from Renova Energia SA to AES Tietê, a 1.34-billion real ($346.73 million) deal closed in April.

In a meeting of its board on Tuesday, ANEEL directors said the companies failed to show possible gains for the consumer or guarantees for the conclusion of the project.

Renova and AES Tietê were also seeking from ANEEL suspension of some fines related to delays in the complex's completion.

In a securities filing, Renova Energia said the regulator's decision only applies to windmills that had already future contracts to sell the energy. Windmills that did not have this contract could still be sold, Renova said.

Units in Renova were down 30.4%, at 21.50 reais, in late afternoon trading in Sao Paulo.

$1 = 3.8647 reais Reporting by Luciano Costa Editing by James Dalgleish

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below