Regional energy group Enersis confirmed it is proceeding with a planned capital increase of over $8bn, despite concerns from the Chilean market regulator.

SVS saw a clear conflict of interest in the planned capital increase, reports Reuters.

Enersis’ parent company, Spain’s Endesa, plans to back the deal with up to $4.86bn in assets, but analysts have questioned the valuation of those assets, with some arguing it appear inflated.

Under the capital increase, Enersis will issue shares.

Enersis will then use the money raised to fund merger and acquisition opportunities, develop greenfield projects and buy minority interests in the Latin American region.

For more Business news.

For more Latin America news.