CEMIG Telecom auction to start at around USD100m

29 May 2018

State-run utility Companhia Energetica de Minas Gerais (CEMIG) has put its CEMIG Telecom arm up for sale, TeleSintese reports. For the purpose of the divestment, the company’s communications assets have been divided into two lots: Lot 1 comprises assets in Minas Gerais, Sao Paulo and Rio de Janeiro, while Lot 2 will include infrastructure in Ceara, Bahia, Pernambuco, Goias and Belo Horizonte. Bidding for the first lot will start at BRL335.07 million (USD90.9 million), while a minimum price-tag of BRL32.47 million has been applied to the second batch of networks.

Interested parties are required to register their interest with CEMIG by 8 June, after which the utility firm will be open to clarification requests until 9 July. Bidding will take place between 16 July and 20 July, and the results will be revealed on 27 July. In order for the auction process to conclude, the winning bidder must submit an offer that is at least 10% higher than the next largest offer.

Brazil, CEMIG Telecom