State Grid Corp of China yesterday said it has agreed to buy electricity transmission assets in Brazil from Spain's Actividades de Construccion y Servicios SA for US$531 million and assume debt of US$411 million, the latest in a series of overseas acquisitions by Chinese power companies.
State Grid's wholly-owned subsidiary State Grid International Development Ltd will take over seven high-voltage electricity transmission assets in Brazil from ACS, it said in a statement via Bank of America Merrill Lynch, which acted as exclusive financial advisor to State Grid on the deal.
The latest transaction will be State Grid's second investment in Brazil and fourth major investment outside China, the statement said.
State Grid signed a deal early this year to buy 25 percent of Portuguese power grid operator Redes Energeticas Nacionais SGPS SA for about US$508 million. In December 2010, it bought seven Brazilian power transmission concessions for a combined nearly US$1 billion.