Sempra Energy Gets Approvals For $3.59 Bln Divestiture Of Luz Del Sur In Peru

(RTTNews) - Sempra Energy (SRE) said that it has received all required governmental authorizations for the sale of the company's equity interests in its Peruvian businesses. The sale to China Yangtze Power International (Hongkong) Co., Limited (CYP) will generate approximately $3.59 billion in total cash proceeds.

The transaction includes Sempra Energy's 83.6% stake in Luz del Sur S.A.A., as well as Tecsur, which provides electric construction and infrastructure services to Luz del Sur and third parties, and Inland Energy S.A.C., Luz del Sur's generation business.

Sempra Energy also continues to move forward with the sale of its equity interests in its Chilean business, including its 100% interest in Chilquinta Energía S.A. and Tecnored S.A., to State Grid International Development Limited (SGID) for approximately $2.23 billion in total cash proceeds, subject to adjustments and satisfaction of closing conditions.

In combination, Sempra Energy's planned sale of its South American businesses is expected to result in combined proceeds of about $5.82 billion in total cash proceed.

BofA Merrill Lynch and Lazard are serving as financial advisors to Sempra Energy on the sale, and White & Case is serving as legal advisor.

Luz del Sur serves the southern region of Lima, Peru, and is the largest electric company in the country.