GIC Private Limited entered into an agreement to acquire 50% stake in Eight power transmission assets in operation from Neoenergia S.A. (BOVESPA:NEOE3) for BRL 1.2 billion on April 25, 2023. The purchase price of BRL 1.2 billion is subject to customary price adjustments. A transmission holding company will be formed to hold the operational assets.

Following closing of the transaction, Neoenergia will continue to provide operation and maintenance services, as well as other corporate services to the operational assets. The transaction is still subject to customary conditions precedent, which include prior approval of governmental authorities and certain third parties. As of July 17, 2023, the European Commission approved the deal.

The transaction is expected to be concluded in the second half of this year. JPMorgan Chase & Co. acted as financial advisor for Neoenergia S.A. Leonardo Miranda, Ana Carolina Katlauskas Calil and Karin Yamauti of TozziniFreire advised on the sale of Neoenergia.

Thais Garcia of Clifford Chance acted as legal advisor to Neoenergia, while Bruno Bercito, Mariana Saragoça, Renato Stanley and Marco Saliba of Stocche Forbes Advogados and Freshfields Bruckhaus Deringer acted as local and international advisors, respectively, to the buyer Warrington Investment.