Verene Energia Expands with Acquisition of Equatorial's Transmission Unit

Deal News | Apr 05, 2025 | CDPQ

Verene Energia Expands with Acquisition of Equatorial's Transmission Unit

CDPQ, a global investment group, and its power transmission platform Verene Energia have announced an agreement to acquire Equatorial Transmissão S.A. from Equatorial S.A. This acquisition involves seven power transmission lines, which span 2,430 km across various states in Brazil. The transaction value is estimated to reach CAD 1,263 million. This acquisition marks the fourth investment by CDPQ in the Latin American power transmission sector since 2022, underscoring its focus on the region's stable and predictable regulatory framework and its role in advancing Brazil's decarbonization agenda. The financial close is anticipated by December 2025.

Sectors

  • Power Transmission
  • Investment Management

Geography

  • Brazil – The acquisition involves power transmission lines distributed across four states in this country, with significant implications for the region's energy infrastructure.
  • Canada – CDPQ, the investment firm facilitating this acquisition, is based in Canada, indicating cross-border investment strategies.

Industry

  • Power Transmission – The article discusses a major acquisition in the power transmission sector as Verene Energia expands its operations in Brazil.
  • Investment Management – CDPQ, a global investment group, plays a significant role in facilitating the acquisition of power assets in Latin America.

Financials

  • CAD 1,263 million (BRL 5,188 million) – Estimated value of the acquisition deal for Equatorial Transmissão S.A.'s assets.

Participants

NameRoleTypeDescription
Verene EnergiaTarget CompanyCompanyPower transmission platform owned by CDPQ, actively acquiring assets in Brazil.
CDPQPrivate Equity CompanyCompanyGlobal investment group supporting Verene Energia's acquisition in Brazil.
Equatorial S.A.Vendor (Selling Company)CompanyCompany selling its power transmission business unit to Verene Energia.
Equatorial Transmissão S.A.Target Business UnitCompanyPower transmission business being acquired, owning seven transmission lines in Brazil.
Emmanuel JaclotExecutive Vice-President and Head of InfrastructurePersonResponsible for overseeing CDPQ's infrastructure investments including this acquisition.