Iberdrola Nears Full Takeover of Brazil's Neoenergia
Iberdrola SA said Thursday it has raised its stake in Brazil's Neoenergia to 98 percent, under a full takeover bid it launched late last year.
The Spanish power and gas utility said in an online statement it could acquire 100 percent of Neoenergia "in the coming weeks" if the latter exercises its right of squeeze-out.
When it launched the takeover bid November 24, 2025 Iberdrola owned 83.8 percent in Neoenergia. Iberdrola had already acquired a 30.29 percent interest held by Banco do Brasil's pension fund, PREVI.
The latest round of share purchases amounted to 14.2 percent of Neoenergia. The latest offer was priced BRL 33.77 ($6.6) per share, totaling around BRL 5.83 million.
"The price is equivalent to the price paid last October for the acquisition of the 30.29 percent stake in PREVI (32.5 reais per share), adjusted for Brazil’s official interest rate (SELIC), and reduced by the special dividend declared by Neoenergia on 31 December 2025", Iberdrola said.
"The offer stands out as one of the largest delisting transactions to date in Brazil, and for achieving one of the highest acceptance rates in the country", it added.
"The transaction, completed at very attractive multiple valuations, has had a positive impact on Iberdrola’s results from the very first year and reinforces its commitment to Brazil and to growth centered on electricity networks, which account for 90 percent of Neoenergia’s business".
Neoenergia powers about 40 million Brazilians through five distribution companies in Bahia, Brasilia, Mato Grosso do Sul, Pernambuco, Rio Grande do Norte and São Paulo, making it the South American country's biggest electricity distributor in terms of customer number, according to Iberdrola.
Neoenergia has 3,600 megawatts of mostly hydro renewable generation capacity, over 725,000 kilometers (450,494.11 miles) of distribution lines and 8,000 kilometers of transmission lines, according to Iberdrola.
Iberdrola has allotted Brazil EUR 7 billion ($8.2 billion) in its plan to invest EUR 58 billion across its global portfolio by 2028, as announced by the company September 24, 2025.
To contact the author, email jov.onsat@rigzone.com
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