off-the-wire

UPDATE 1-Brazil's Taesa says no formal decision taken on possible share offering

Kitco Media
By Reuters
Published:
Updated:
Reuters
(Recasts with company statement) SAO PAULO, April 10 (Reuters) - Brazilian power company Transmissora Alianca de Energia Eletrica SA said had not yet made a formal decision regarding a possible share offering, after a financial website reported it was planning one for up to 2 billion reais ($395.66 million). In a securities filing on Monday, Taesa, as the company is popularly known, said there is no formal decision regarding a share offering, but that "it constantly seeks and evaluates financing and optimizing its capital structure."


Late on Sunday, Brazil Journal had reported that Taesa was setting up a capital increase to help prepare the company for upcoming electricity transmission auctions in the country, the pegging the lower-end of the offering at 1.5 billion reais.


Taesa is controlled by Colombia's ISA and Brazilian state-run power company Cemig . Brazil Journal said the new share offering would be calibrated not to dilute their 63% stake in Taesa to less than 50.1%. Units in Taesa fell 3.1% on Monday to 33.95 reais.
($1 = 5.0549 reais)



(Reporting by Gabriel Araujo and Peter Frontini; Editing by Steven Grattan and Sarah Morland)

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