Chinese state-owned power company China Three Gorges Brasil Energia is set to acquire three power utility companies in Brazil for $538.5 million.

The firms are two hydropower generation companies, Rio Verde Energia and Rio Canoas Energia, as well as Triunfo Negocios de Energia, a power distribution firm.

Under the terms of the acquisition, the Chinese company will acquire all the shares of the three companies for a consideration of $274.92 million on closing, subject to usual adjustments in type of operation. The firm also assumes a debt of $218.23 million as of the end of 2014.

China Three Gorges Brasil Energia will operate the Salto hydroelectric plants, which have an installed capacity of 116 MW, and the Garibaldi hydroelectric plants with an installed capacity of 192 MW.