Chile-based electric distribution utility Chilquinta Energía, a subsidiary of San Diego-based energy services provider Sempra Energy has announced the completion of the acquisition of two major regulated transmission lines from AES Gener, a subsidiary of AES.
Following the completion of this transaction, Chilquinta Energía owns 100% stake in Compañía Transmisora del Norte Grande (CTNG) for approximately $225.5m. The company has used cash to finance the transaction.
CTNG owns the regulated transmission assets in central and northern Chile, and is a part of AES Gener and its subsidiary Empresa Eléctrica Angamos.
Chilquinta Energía has acquired transmission assets from CTNG which are currently in operation. The assets include a 183.4Km, 110kV transmission line and substations in the central Valparaiso-Santiago region, and a 132Km, 220-kV transmission line in the northern Antofagasta region.
Sempra Energy executive vice president and group president Dennis V. Arriola said: “These transmission assets will expand our presence in the region and enhance our portfolio of reliable electric infrastructure that serves our customers in Chile.
“Additionally, this acquisition fits with our business focus on owning and operating utility infrastructure with a transmission-and-distribution risk profile.”
Fiscalía Nacional Económica, the local government office in Santiago, Chile has given regulatory approval for the transaction on 29 November 2018.
Chilquinta Energía claims it is the third-largest distributor of electricity in Chile, and its affiliates serve more than 600,000 customers in the central and southern regions of Chile.
Sempra Energy claims its 2017 revenues are more than $11bn with a large U.S. customer base. It has approximately 20,000 employees serving more than 40 million consumers worldwide.