Naturgy closes the sale of Compañía General de Electricidad to China’s State Grid

Cuatrecasas has advised Naturgy on the sale of Compañía General de Electricidad S.A. (CGE), the main electric power distributor in Chile, to Chinese state company State Grid International Development Limited (SGI), after this company successfully launched a takeover bid as the last necessary step to complete the transaction. The transaction value was €2.7 billion.

In November 2020, both companies announced an agreement for the sale of the 96.04% stake Naturgy held in CGE. In the last few months, the transaction obtained the required regulatory approvals and authorizations from Chilean competition supervisors, and SGI launched its takeover bid at the end of June.

The Cuatrecasas team in Santiago de Chile that participated in the operation was made up of lawyers Roberto Guerrero V., Macarena Ravinet, Josefina Yávar, Gianfranco Lotito, Tomás Kubick and Pilar Illanes.

“This is a significantly complex transaction and the most important in Chile so far this year, requiring our advice in different areas after the sale and purchase agreement was signed,” explained Roberto.