J&F Investimentos SA, the holding company controlled by billionaire brothers Batista, is in negotiations to acquire the Norte Fluminense thermal plant from Électricité de France SA (EDF), located in Rio de Janeiro. According to two sources familiar with the matter, the transaction could reach BRL2bn ($374 million). American bank Bank of America is leading the sale process, which has already attracted interest from other potential buyers, although no binding offer has yet been submitted.
EDF scales back international presence
This potential divestment is part of EDF’s strategy to focus on its domestic nuclear operations and sell non-core international assets. The French utility is also considering initial public offerings of its North American and Brazilian subsidiaries to strengthen its portfolio and long-term investment capacity over a ten-year horizon. The Norte Fluminense gas-fired plant operates without long-term power purchase agreements, making it an attractive acquisition for J&F, which often targets underperforming assets.
Through its subsidiary Ambar Energia, J&F already owns several plants lacking long-term contracts. The holding company has also submitted an offer to acquire Roraima Energia, an electricity distribution firm in northern Brazil owned by Oliveira Energia, following a preliminary agreement signed in 2024 to take control of a similar asset in the Amazonas state, which remains unfinalised.
Energy leads Brazil’s M&A activity
The energy and natural resources sectors account for 53% of mergers and acquisitions in Brazil in 2025, totalling $22.3bn in transactions, according to advisory firm Seneca Evercore. Four of the year’s ten largest deals are in energy, and three others in natural resources, driven by investors seeking stable cash flows.
Among the other major deals under way, Brookfield Asset Management Inc. is preparing to sell its high-voltage Mantiqueira transmission line in Minas Gerais state. The transaction, estimated at BRL5bn, is being led by Itau BBA and Bradesco BBI. It has attracted interest from State Grid Corporation of China, Grupo Energia Bogotá and a consortium of Taesa and Cemig. Meanwhile, Engie SA is evaluating the potential sale of a minority stake in its Brazilian transmission assets, having appointed Morgan Stanley to explore partnership opportunities.
These developments highlight the strong momentum of Brazil’s energy infrastructure market, as international players adjust their portfolios to capture growth opportunities or unlock liquidity.
