Sempra Energy completes $2 billion sale of Chilean businesses
Last updated 6/24/2020 at 11:32am
SAN DIEGO (CNS) - San Diego-based Sempra Energy announced today that it has completed the sale of its Chilean businesses for $2.23 billion to State Grid International Development Limited.
This sale includes Sempra's 100% stake in Chilquinta Energia S.A., Chile's third-largest electricity distributor and utility for more than two million people.
"Today's announcement completes the divestiture of all of Sempra Energy's South American assets — an important step in narrowing our strategic focus to the most attractive markets in North America," said Jeffrey W. Martin, chairman and CEO of Sempra Energy. "This sale furthers our mission to be North America's premier energy infrastructure company. I commend all parties involved in getting this deal completed and want to thank the hardworking employees of Chilquinta Energia for their dedication to powering Chile's homes, businesses, medical facilities and more."
The Chilean sale ends Sempra Energy's sales of its South American businesses, resulting in approximately $5.82 billion.
According to a company statement, "proceeds from the sales will be used to further strengthen the company's balance sheet and liquidity position."
In April, Sempra Energy announced the completion of the sale of its Peruvian businesses, including its 83.6% interest in Luz del Sur S.A.A., to an affiliate of Hong Kong-based China Yangtze Power International Co. Ltd., generating approximately $3.59 billion in total cash proceeds.
State Grid International Development Limited is another Hong Kong-based energy company.