We represented Alpek, S.A.B. de C.V. (“Alpek”), a company listed on the Mexican Stock Exchange and subsidiary of Alfa, S.A.B. de C.V., in the sale of its two cogeneration energy plants located in Cosoleacaque, Veracruz, Mexico, and Altamira, Tamaulipas, Mexico, respectively.
The portfolio being acquired consists of 932MW of potential capacity, located on Alpek’s petrochemical sites in the Mexican states of Veracruz and Tamaulipas, of which 518MW shall are operational.
The transaction involves the total sale of Alpek’s shareholding in the companies that own both plants, Cogeneración de Altamira, S.A. de C.V. and Cogeneración de Energía Limpia de Cosoleacaque, S.A. de C.V. to ContourGlobal Holding de Generación de Energía de México, S.A. de C.V., affiliate of ContourGlobal PLC, for a total consideration (subject to adjustments) of USD$801 million.
In accordance with the stock purchase agreement, the agreed price will be subject to certain commercial adjustments.
The transaction was subject to customary closing terms and conditions in this type of transactions, inter alia, commencement of commercial operations at the Altamira plant; a favorable resolution issued by the Mexican anti-trust authority (Comisión Federal de Competencia Económica); and approval by the ContourGlobal PLC shareholders. In this regard, the transaction also included the negotiation and execution by ContourGlobal L.P., the majority shareholder of ContourGlobal PLC, of an irrevocable undertaking to vote in favor of the transaction.
Alpek Sale
Authors:
CA
Carlos Ahumada
FDR
Federico del Río
SG
Santiago Graf
JO
Jaime Ostos
PP
Paula Pérez
HIGHLIGHT11 January 2020