Tag Archives: Utilities (TRBC level 2)

Eletrobras Brasil said SEC enforcement units asked for information | Instant News

FILE PHOTO: The logo of Eletrobras, a Brazilian electric utility company, is displayed on a screen on the floor of the New York Stock Exchange (NYSE) in New York, USA, April 9, 2019. REUTERS / Brendan McDermid

SAO PAULO (Reuters) – Brazilian state-controlled power company Eletrobras said the Securities and Exchange Commission’s enforcement ruling had requested information on some of the mandatory loans provided by industrial power users, without specifying potential problems.

More than 60 years ago, the Brazilian government forced industrial companies to finance expansion of the country’s power sector, pledging to repay loans.

However, payments are constantly being delayed and the government says it could later be done in Eletrobras stock, creating a legal battle.

Eletrobras also said it would delay filing the 20-F form, which was originally expected on April 30, to review its 2018 and 2019 financial statements to better reflect its employees’ retirement plans. The company does not expect significant changes.

Eletrobras hopes to deliver the 20-f on May 15.

Reporting by Carolina Mandl and Luciano Costa; Edited by Chris Reese and Cynthia Osterman


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UPDATE CDP 4-Italy offers Enel deals for extra 10% off Open Fiber | Instant News

* Enel is expected to hold a board meeting on the deal on Saturday

* CDP is set to take control of the company’s broadband infrastructure

* Deal seen as a potential upgrade for network projects with TIM (Adds Open Fiber statement, details)

MILAN, April 30 (Reuters) – Cassa Depositi e Prestiti (CDP) said on Friday it had agreed to bid Enel for 10% of Open Fiber in a move that would increase the Italian state lender’s stake in the broadband infrastructure company. . 60%.

This move comes as Enel, Italy’s largest utility company, prepares to sell its stake in Open Fiber. Macquarie’s Australian fund has offered up to 2.65 billion euros ($ 3.20 billion) for all or part of Enel’s 50% stake.

Enel is expected to hold a board meeting on Saturday to discuss the deal, said three sources with knowledge of the matter. Open Fiber on Friday said it was giving the necessary permits to the entrance to Macquarie in the capital.

CDP also said it had agreed to a binding term sheet with Macquarie outlining Open Fiber governance before the fund became a shareholder in the fiber-optic business.

With a controlling stake in Open Fiber, CDP has the potential to mitigate an old, disputed plan to combine Open Fiber network assets with the network assets of the former Italian telecom monopoly Telecom Italia to create a unified network operator.

Bets on the single broadband network project following the CDP announcement lifted the stake in Telecom Italia by 4%, making it the biggest winner on Milan’s blue-chip index.

CDP is the second largest shareholder in Telecom Italia, behind French media company Vivendi.

A single network will avoid duplicating investments in fiber launches as Italy seeks to close its digital divide with the rest of Europe, a priority of Prime Minister Giuseppe Conte’s previous government.

However, several ministers in the new government led by Mario Draghi cast doubt on the plan due to regulatory issues, saying alternative options were also being considered.

CDP said it was committed to bringing in “new resources” before the deal closed to help accelerate development of broadband networks.

Under the proposed scheme, CDP and Enel will each inject cash into Open Fiber to boost its finances, three sources told Reuters. One source said each partner is likely to deposit around 150 million euros.

State-controlled Enel declined to comment and added it would make the statement only after analyzing official documents.

$ 1 = 0.8278 euros Report by Stephen Jewkes, Elvira Pollina and Giuseppe Fonte, additional reporting by Giancarlo Navach, written by Agnieszka Flak; editing by Simon Cameron-Moore, Kirsten Donovan


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UPDATE CDP 1-Italy offers Enel deals for 10% Open Fiber | Instant News

(Added details, resources about cash calls)

MILAN, April 30 (Reuters) – Cassa Depositi e Prestiti (CDP) has agreed to bid Enel for 10% of Open Fiber in a move that will increase the Italian state lender’s stake in the broadband infrastructure company to 60%.

CDP, which like utility Enel currently owns 50% of Open Fiber, also said it was committed to bringing in “new resources” before the close of the deal to help accelerate broadband network development.

CDP and Enel will each inject cash into Open Fiber to boost its finances, three sources with knowledge of the matter told Reuters.

One source added that each partner is likely to deposit around 150 million euros.

Enel did not immediately comment on the cash injection.

CDP said in a statement that it had allowed the signing of a binding term sheet with Macquarie on the governance of Open Fiber when the fund, which is in talks to buy Enel’s remaining stake in the broadband group, becomes a shareholder.

Enel has been in talks to sell up to 50% of Open Fiber to Macquarie for 2.65 billion euros ($ 3.21 billion) since last year.

But CDP wants to buy a portion of Enel’s stake to take control of the broadband operator as part of a broader plan to combine it with incumbent Telecom Italia (TIM) ‘s landline assets.

Controlled by the Ministry of Finance, CDP is TIM’s second largest shareholder after French media company Vivendi.

$ 1 = 0.8256 euros Report by Stephen Jewkes, Elvira Pollina and Giuseppe Fonte, written by Agnieszka Flak; editing by Jacqueline Wong and Jason Neely


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UPDATE 1-Germany, Russia marks hydrogen cooperation | Instant News

* The German economy minister said gas imports were still needed

* Looking to build a hydrogen partnership with Russia

* Russia’s deputy prime minister agrees to take joint action

* Minister of Industry proposes German supply technology (Remodel, combine timeline, provide more details, excerpt from webcast)

FRANKFURT / MOSCOW, April 29 (Reuters) – Germany will need natural gas from Russia as a bridging technology as it moves to cleaner energy, but will also seek cooperation on its hydrogen strategy, German Economy Minister Peter Altmaier told a Russia-Germany conference. Thursday.

Altmaier said gas is needed because Germany is abandoning nuclear power and coal-fired power plants, but will seek to build an established fossil fuel partnership as it develops hydrogen from renewable sources as an alternative fuel.

“At the other end of the (gas) bridge there will be renewable energy and green hydrogen, which we can build together with Russia on a large commercial scale,” Altmaier said.

“Russia has very good preconditions for this partnership.”

Germany hopes to develop large-scale green hydrogen by sending renewable power from wind and sunlight via electrolysis to make synthetic fuels for the industrial, energy and transportation sectors.

The 9 billion euro ($ 10.90 billion) hydrogen promotion program launched last summer forecast huge import needs as the rollout of domestic production capacity will be hampered by land restrictions.

Russian speakers echo Altmaier’s statement.

Russian Deputy Prime Minister Alexander Novak told a webcast meeting that the two countries would benefit from intensive energy cooperation, including, on the Russian side, building a renewable energy and hydrogen value chain.

“We believe that (hydrogen) is one of the most promising sources of energy in the future,” he said.

“Germany will play an important role in promoting hydrogen energy in the European region. We hope for an alliance in that area, “he said.

Russia will also engage in digitization efforts to upgrade its energy systems with a view to closer integration with western partners, he said.

Russian Industry Minister Denis Manturov said he could set up a hydrogen cluster for production, and could develop transportation options under shared standards and metrics.

“We are counting on attracting your modern expertise with a conditional formula: green hydrogen in return for technology,” he said.

$ 1 = 0.8255 euros Reported by Vera Eckert in Frankfurt and Vladimir Soldatkin in Moscow, edited by Kirsti Knolle and Kim Coghill


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UPDATE 1-Cemig Brasil plans IPO of gas distribution, sale of Alianca shares | Instant News

(New throughout, adding information across company divestment plans, stock reactions)

SAO PAULO, April 28 (Reuters) – Brazilian power company Cemig is planning an initial public offering of a gas distribution unit and a wave of divestments, executives said on Wednesday, and the company’s shares rose more than 4% after the news.

During an online investor event, executives said they planned to sell about 9 billion reais ($ 1.66 billion) in assets by 2025, including company stakes in the large hydroelectric dams of Belo Monte and Santo Antonio.

As part of the divestment, the company, officially Cia Energetica de Minas Gerais SA, also plans to sell its stake in Alianca Energia, a joint power plant venture with Brazilian mining company Vale SA, executives said.

Cemig is the public electricity company of Minas Gerais, Brazil’s second most populous state.

The shares of the Sao Paulo-listed company rose 4.4% in midday trade, the second-biggest winner on Brazil’s benchmark Bovespa equity index.

Earlier in the event, Minas Gerais Governor Romeu Zema reiterated his intention to privatize the company, saying he wanted it finished by the end of his term in 2022.

“I want the company to be privatized during my tenure,” said Zema. “Maybe not to sell it outright, but to receive an injection of (private) capital and thereby weaken the state, which always intervenes inappropriately, thus losing controlling stake and stopping hurting Cemig.” (Reporting by Luciano Costa; Written by Gram Slattery; Editing by Louise Heavens and David Gregorio)


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