Jalles Machado S/A entered into an agreement to acquire ERB MG Energias S.A. from Geribá Investimentos Ltda. for an enterprise value of BRL 334.80 million.

Jalles Machado S/A (BOVESPA:JALL3) entered into an agreement to acquire ERB MG Energias S.A. from Geribá Investimentos Ltda. for an enterprise value of BRL 334.80 million on May 4, 2022. In a related transaction, Jalles Machado S/A (BOVESPA:JALL3) entered into an agreement to acquire Santa Vitoria Acucar e Alcool Ltda.

from Geribá Investimentos Ltda. for an enterprise value of BRL 370.06 million. Transaction amount BRL 334.80 million in Santa Vitória, also subject to any possible closing adjustments, of which BRL 144.87 million upfront, to fulfill the acquisition obligation of Cogen ERB, and a takeover of long term bank debts of CogenERB, in the amount of BRL189.93 million.

Total disbursements of the Transaction, deducting the bank debts undertaken in Cogen ERB, amount to BRL 514.93 million, subject to closing and earnout adjustments. The deal is subject to antitrust body Cade, regulatory body and Jalles shareholders approval.