HomeRenewablesHydroelectricMirant receives offer for Chilean Edelnor affiliate

Mirant receives offer for Chilean Edelnor affiliate

Mirant Chile S.A., a subsidiary of Atlanta-based energy group Mirant, said Tuesday it has received an offer from Inversiones y Asesorias Titanium Limitada for all of its shares in Empresa Electrica del Norte Grande S.A. (Edelnor).

The Mirant Chile shares represent 82.34 per cent of the outstanding shares of Edelnor and the terms of the offer include a purchase price of $2.5m for interest in Edelnor, payable by a promissory note.

Mirant has been seeking a buying for the electricity generator since an earlier bid by Electroandina and AES was withdrawn.

Mirant has written off its entire investment in Edelnor, and said it did not plan to commit any new capital to the company.

Mirant Chile currently intends to accept the offer between Dec. 17 and Dec. 19, unless it receives a better one.

Edelnor has three main central generating units located in the town of Mejillones in addition to several smaller diesel and hydro facilities in the first and second regions of Northern Chile.