Brazilian power distributor Energisa buys 87% stake in Alsol

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Brazili’s sixth largest power distributor Energisa announced in a filing with the Brazilian Securities and Exchange Commission (CVM) it has agreed to acquire an 87% share in Uberlândia-based rooftop specialist Alsol Energias Renováveis SA from Algar SA Empreendimentos e Participações and Gustavo Malagoli Buiatti.

The purchase price has been set at BRL 11.7 million ($2.9 million), with Alsol’s shareholders’ equity standing at BRL 11.2 million as of the end of December 2018.

Formerly known as Malagoni Engenharia, Alsol, which was founded in 2011, is mainly active in the distributed generation segment, which in Brazil includes all kind of solar installations not exceeding 5 MW in size. It operates, among others, in the states of São Paulo, Minas Gerais and Rio de Janeiro, where considerably high prices are pushing commercial and industrial businesses to install rooftop solar plants to lower energy bills.

Minas Gerais-based Energisa has around six million clients across the states of Paraíba, Sergipe, Minas Gerais, Rio de Janeiro, Mato Grosso, Mato Grosso do Sul, Tocantins, Paraná and São Paulo. It is already active in the renewable energy sector with large-scale wind and biomass power projects, and has also recently began the planning of utility-scale solar plants.