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MarketScreener Homepage  >  Equities  >  Bolsa de valores de Sao Paulo  >  Engie Brasil Energia S.A.    EGIE3   BREGIEACNOR9


End-of-day quote. End-of-day quote Bolsa de valores de Sao Paulo - 02/21
50.14 BRL   +1.56%
02/13ENGIE BRASIL ENERGIA S.A. : annual earnings release
2019ENGIE BRASIL ENERGIA S.A. : Ex-dividend day for
2019ENGIE BRASIL ENERGIA S.A. : Ex-dividend day for interim dividend
News SummaryMost relevantAll newsPress ReleasesOfficial PublicationsSector news

Engie-led consortium seals $8.6 billion purchase of Petrobras pipeline unit

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04/08/2019 | 05:10am EST
The logo of French gas and power group Engie is seen on the company tower at La Defense in Courbevoie near Paris

PARIS (Reuters) - A consortium led by French utility Engie has won a bid for Petrobras' TAG pipeline arm with an $8.6 billion offer, in a deal that boosts Engie's presence in the fast-growing Brazilian market and helps Petrobras cut debts.

Engie said on Monday its successful offer for a 90 percent stake in TAG was made alongside Canada's state-owned financial and investment firm Caisse de Dépôt et Placement du Québec, with more than $310 billion (£237.5 billion) under management.

Petrobras will keep the remaining 10 percent.

Engie said buying TAG, which accounts for 47 percent of Brazil's entire gas infrastructure and achieved core earnings of $1.14 billion in 2018, would provide a steady stream of profits.

It will add to Engie's presence in Brazil, where its unit owns assets including hydroelectric plants, thermoelectric facilities and renewable energy sources.

"Our acquisition of TAG is a significant milestone for Engie in Brazil, a key market for the group where we have been present for 23 years," said Engie Chief Executive Isabelle Kocher.

Under Kocher, Engie has been focusing investments on energy services, renewable energy and infrastructure, while selling out of coal-related assets.

"It is a good diversification for Engie," said Clairinvest fund manager Ion-Marc Valahu, whose firm owns Engie shares. "Also, Engie will benefit from growth expectations in Brazil."

Engie said the acquisition of TAG would result in its net debt increasing by around 1.6 billion euros ($1.8 billion). The consortium secured around $6 billion in financing to help fund the acquisition from 10 banks, three local and seven international. It did not name the lenders.

Engie shares edged up 0.6 percent in early trading on hopes the positive elements of the TAG deal would override any concerns over the rise in Engie's debts.

"TAG will allow Engie to accelerate its development in the gas sector in Brazil, where Engie is already present in terms of the country's electricity sector," said Roche Brune Asset Management fund manager Gregoire Laverne, who said Engie was a stock his firm was considering buying.

The TAG divestment represents a victory for Petrobras' leadership and its Chief Executive Roberto Castello Branco, who is pushing to unload assets in a bid to cut debt and refocus on exploration and production.

In September 2016, Petrobras sold a larger gas network pipeline, Nova Transportadora do Sudeste, for $5.2 billion to Brookfield Infrastructure Partners LP, which beat out a bid by Engie.

(Reporting by Sudip Kar-Gupta; Editing by David Holmes)

By Sudip Kar-Gupta

Stocks mentioned in the article
ChangeLast1st jan.
ENGIE -1.80% 15.785 Real-time Quote.11.77%
ENGIE BRASIL ENERGIA S.A. 1.56% 50.14 End-of-day quote.-1.30%
EURO / BRAZILIAN REAL (EUR/BRL) 0.03% 4.7564 Delayed Quote.5.45%
PETRÓLEO BRASILEIRO S.A. - PETROBRAS -2.61% 29.14 End-of-day quote.-3.45%
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02/13ENGIE BRASIL ENERGIA S.A. : annual earnings release
2019ENGIE BRASIL ENERGIA S.A. : Ex-dividend day for
2019ENGIE BRASIL ENERGIA S.A. : Ex-dividend day for interim dividend
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2019Engie Expects TAG Stake Acquisition to Boost Net Profit
2019ENGIE-led consortium wins competitive bidding process in Brazil for the acqui..
2019ENGIE BRASIL ENERGIA SA : Ex-dividend day for interim dividend
2019Engie-led consortium seals $8.6 billion purchase of Petrobras pipeline unit
2019ENGIE : Vestas - ENGIE places 361 MW Order of V150-4.2 MW turbines in Brazil
2018ENGIE BRASIL ENERGIA SA : Ex-dividend day for
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Financials (BRL)
Sales 2020 9 518 M
EBIT 2020 4 501 M
Net income 2020 2 926 M
Debt 2020 12 160 M
Yield 2020 6,44%
P/E ratio 2020 14,7x
P/E ratio 2021 12,8x
EV / Sales2020 5,58x
EV / Sales2021 6,03x
Capitalization 40 911 M
Duration : Period :
Engie Brasil Energia S.A. Technical Analysis Chart | MarketScreener
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Technical analysis trends ENGIE BRASIL ENERGIA S.A.
Short TermMid-TermLong Term
Income Statement Evolution
Mean consensus HOLD
Number of Analysts 13
Average target price 49,59  BRL
Last Close Price 50,14  BRL
Spread / Highest target 16,1%
Spread / Average Target -1,10%
Spread / Lowest Target -20,2%
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Eduardo Antonio Gori Sattamini Chief Executive Officer
Maurício Stolle Bähr Chairman
Carlos Boquimpani de Freitas Chief Financial & Investor Relations officer
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Dirk Achiel Marc Beeuwsaert Director