Enersis Defines US Tranche

Enersis is offering 6.5m shares in the form of ADS, it says, as a part of the preferential subscription period launched Monday for its equity CLP2.84trn ($6.02bn) follow-on. Shares will be offered at $19.19 per ADS, the equivalent of a CLP8,650 per ADS price plus a premium to cover fx changes. The offer runs through March 21, closing ahead of the March 26 domestic closing date. JPMorgan, BTG Pactual and Bank of America Merrill Lynch are global coordinators on the ADS sale, with Banchile, BBVA, Credit Suisse, Deutsche Bank, Goldman Sachs, HSBC, Larrain Vial, Morgan Stanley and Santander as bookrunners. In total, the holding vehicle for certain LatAm electricity sector units of Spain’s Endesa is offering up to 16.44bn shares at CLP173 each. JPMorgan, Celfin, BBVA, Santander, Larrain Vial, Banchile and BAML are managing the local side. The controversial sale was approved in December, after months of back and forth with regulators and minority investors. Endesa plans to subscribe its portion of the transaction with its LatAm assets that don’t already belong to Enersis, and needed negotiations with Chilean pension funds and multiple outside evaluations to reach agreement on the assets’ value. The process will raise funds for acquisition opportunities and streamline Endesa’s operations in LatAm by placing all of its holdings under Enersis. Enersis shares closed at CLP177.49 Tuesday.