By Brazil Stock Guide – Previ, Brazil’s largest pension fund, booked a R$2 billion (US$385 million) gain from the sale of its stake in Neoenergia SA (B3: NEOE3) to Spain’s Iberdrola SA (BME: IBE), announced on Sept. 11. The deal was valued at about R$12 billion (US$2.07 billion), while the asset had been recorded in Plano 1’s portfolio at around R$10 billion.
The transaction strengthens the surplus of Plano 1, Previ’s largest plan, and extends a recovery process after the fund posted a R$3.16 billion deficit in 2024. The shortfall reversed a R$14.5 billion surplus in 2023 and followed a R$17.6 billion deficit in 2022. The 2024 loss was largely driven by a more than 10% drop in Brazil’s Ibovespa.
“The sale of our stake in Neoenergia is the result of a careful analysis, aligned with our strategic planning and long-term commitment to the sustainability of the resources we manage,” said Cláudio Gonçalves, Previ’s investment director. “The operation reinforces our discipline in asset management and our ability to generate value for members.”
Surplus reinforced
In the deal with Iberdrola, Previ emphasized that efficient investment management has been key to reducing risks and ensuring long-term sustainability. The R$2 billion gain boosts liquidity and expands Plano 1’s financial cushion.
Previ had held the Neoenergia stake since the utility’s formation in the late 1990s, supporting its growth into one of Latin America’s largest integrated energy companies. Over more than two decades, the investment delivered strong returns to Plano 1’s equity portfolio, reinforcing the fund’s ability to pay benefits and safeguard the future of its members.
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