By Brazil Stock Guide – Brazil’s state-controlled utility Cemig completed the acquisition of Empresa de Transmissão Timóteo-Mesquita, strengthening its power transmission footprint in Minas Gerais. The transaction was carried out through its subsidiary Cemig Geração e Transmissão and involved the purchase of 100% of the company’s equity for R$30 million.
The assets acquired generate an annual allowed revenue (RAP) of about R$6 million and are connected to Cemig’s own 230-kilovolt transmission grid, the company said. The deal includes the 24-kilometer Mesquita–Timóteo 2 transmission line and the Timóteo 2 substation, which sections the Ipatinga 1–Timóteo 1 line.
Located in the Vale do Aço, one of eastern Minas Gerais’ main industrial hubs, the infrastructure is part of Cemig’s strategy to expand investments in transmission assets within the state. Cemig trades in New York as CIG and on Brazil’s B3 exchange as CMIG4.
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