Wednesday, 6th June 2012 by Joe Rowley

Brazilian energy company Companhia Energética de Minas Gerais (CEMIG) has turned to Souza, Cescon, Barrieu e Flesch - Advogados to execute a corporate restructuring involving the transfer of minority stakes in six distribution assets to its subsidiary, Transmissora Aliança de Energia Elétrica (TAESA).

TAESA turned to Machado, Meyer, Sendacz e Opice Advogados in the deal, which was signed on 17 May. The US$856 million transaction is expected to close within the next three months and is subject to regulatory and creditor approvals.

CEMIG says the move is part of the company’s long-term plan to consolidate all of its electricity transmission assets into a single vehicle with the aim of boosting its performance in future auctions of transmission lines and in the acquisition of assets. Following the restructuring, TAESA now owns more than 9,370 kilometres of transmission lines in Brazil.

This is not the first time that Souza Cescon has given counsel to CEMIG, having previously acted as deal counsel in a US$1.3 billion bond offering in 2010 and helped the company file the first shelf registration statement under new rules issued by Brazil′s securities regulator, CVM, at the end of 2003.

In the past CEMIG has also turned to Veirano Advogados for its acquisition of a stake in São Paulo-based gas distributor Gas Brasiliano Distribuidora (GBD), Machado Meyer to advise in a joint venture with a consortium of banks that gave it a stake in electricity distribution company Light, as well turning to Machado Meyer and Pinheiro Guimarães - Advogados for its US$1.06 billion acquisition of a stake in the Brazilian unit of Italian power grid operator Terna.

In the past TAESA has also turned to Azevedo Sette Advogados, including for its acquisition of Nordeste Transmissora de Energia and entry into a joint venture with Spanish energy company Abengoa at the end of 2010.

Counsel to CEMIG

In-house counsel - Leticia Vignoli Villela

Souza, Cescon, Barrieu e Flesch - Advogados

Partners Carlos Augusto Junqueira and Camila Rossini Pantera

Counsel to Transmissora Aliança de Energia Elétrica

In-house counsel - Ari Cesar Paiva de Almeida and Ana Claudia Carvalho

Machado, Meyer, Sendacz e Opice Advogados

Partners Ricardo de Lima Assaf and Gabriela Falcão Vieira, and associates Maria Julia Menezes de Toledo Florencio, Kamille Silva Florido and Isadora Chansky Cohen

(Latin Lawyer 06.06.2012)

(Notícia na Íntegra)