Slaughter and May is advising ContourGlobal on the proposed disposal of its Brazil hydro business to Pátria Investments

Slaughter and May is advising ContourGlobal plc, an international owner and operator of contracted wholesale power generation businesses, on the disposal to Pátria Investments of nine run-of-river hydro-electric generating power plants in Brazil by a majority-owned subsidiary of ContourGlobal. The disposal values the Brazilian hydro assets at 1.73 billion BRL ($313 million USD) including the assumption of net debt and other customary adjustments, with an implied valuation of 9.7x LTM Q3 2021 EV/EBITDA. ContourGlobal expects proceeds from the disposal net of tax, and reflecting ContourGlobal’s underlying share of ownership, of c. $110m USD.

The disposal is classified under the Listing Rules as a Class 1 transaction and therefore is conditional, among other things, on the approval of ContourGlobal’s shareholders. The disposal is expected to complete in the second quarter of 2022.

Slaughter and May, together with Pinheiro Neto Advogados, is supporting the in-house legal team at ContourGlobal, led by Amanda Schreiber (General Counsel).

Christian Boney Partner
Richard Hilton Partner
Cameron Anderson Associate
Gareth Miles Partner
Jamshed Bilimoria Associate
Alison Lim Associate