Equatorial Energia S.A. (BOVESPA:EQTL3) won the bid to acquire 65.87% stake in Companhia Estadual de Distribuição de Energia Elétrica (BOVESPA:CEED3) for BRL 0.1 million on March 31, 2021. Under the terms of transaction, Equatorial Participações will acquire common and preferred shares from the Companhia Estadual de Distribuição de Energia Elétrica and it will also assume - in all, there are BRL 4.2 billion in CEEE-D liabilities that will be transferred - and by the investments that the new controlling shareholder will have to make to recover the distribution company's financial and operational health and improve the provision of electricity services. Equatorial's plans to make a capital injection in CEEE-D, mainly for debt restructuring. Equatorial will have the right to subscribe the amount of shares equivalent to approximately 94.9% of the total share capital. The CEEE-D schedule for meeting regulatory targets has been changed. This way, the new controlling shareholder will have enough time to reach the parameters with the Brazilian Electricity Regulatory Agency (Aneel) and the signature of sale and purchase agreement. Brazilian Development Bank assist in conducting the sale of CEEE-D. Frederico Cursino de Moura, Mariana Saragoça, Frederico Accon, Pietro Bianchi and Ana Caroline Moura of Stocche, Forbes, Padis, Filizzola, Clapis Advogados acted as legal advisor to Equatorial Energia S.A. in the deal. Joao Vitor Luke Reis, José Ribeiro do Prado Júnior, Lucas De Moraes Cassiano Sant Anna, Laura Garcia De Freitas Souza, Clarissa Freitas. Abogados Diego Gonçalves Fernandes, Jessica Kaori Konishi, Luís Filipe Gentil Pedro and Bruno Cesar Lauer Dos Santos Roberto of Banco do Estado do Rio Grande do Sul S.A. (BOVESPA:BRSR6) acted as financial advisor to Equatorial Energia in the deal.