Neoenergia, a major player in the Brazilian energy sector, has signed an agreement to sell 50% of its interest in the Itabapoana Transmission asset to GIC Private Limited (GIC) for an amount of $24.8mn. This transaction remains subject to usual adjustments before its final completion.
Strengthening the Neoenergia Transmission holding company
The assets resulting from this operation will be integrated into Neoenergia Transmission, the holding company equally owned by Neoenergia and GIC since April 2023. At the end of this sale, the shareholding structure will remain unchanged, with each partner holding 50%.
This sale is part of Neoenergia’s asset rotation strategy aimed at optimising portfolio management. The partnership with GIC is seen as a lever to strengthen investments in power transmission infrastructure.
Future investments and expected performance
Neoenergia plans to complete its investment cycle in transmission by the end of 2025, with the commissioning of the Vale Itajaí, Guanabara, Morro do Chapéu and Alto Paranaíba projects. These projects are expected to generate approximately $194mn in additional Annual Permissible Revenue (RAP).
In 2024, Neoenergia commissioned the Itabapoana, Estreito and Paraíso projects, as well as key sections of Morro do Chapéu, Guanabara and Vale do Itajaí. This momentum added around $58mn in new RAP, bringing the total RAP released by the end of 2024 to $194mn.
A strategic asset for Neoenergia and GIC
The Itabapoana project, acquired in December 2018 from the National Electric Energy Agency (Agência Nacional de Energia Elétrica, ANEEL), covers 221.9 kilometres of dual-circuit transmission lines connecting the Mutum (Minas Gerais) and Campos 2 (Rio de Janeiro) substations, with a voltage of 500 kilovolts (kV).
“This new operation confirms our commitment to optimising capital allocation and maximising results for our shareholders,” said Eduardo Capelastegui, Chief Executive Officer of Neoenergia.
