The Israeli company Kenon Holdings announced the signing of an agreement to sell the power generation business of its subsidiary IC Power in Latin America and the Caribbean to infrastructure investment manager I Squared Capital of New York, for approximately US $ 1,200 million. The agreement, which is expected to be executed in the coming months, refers to the operations owned by Inkia Energy, a subsidiary of IC Power in Latin America and the Caribbean, and does not include the operations of OPC Energy Ltd in Israel. Through Inkia, Kenon has energy interests in Bolivia, Chile, the Dominican Republic, El Salvador, Guatemala, Jamaica, Nicaragua, Panama and Peru. Consortium Legal - Nicaragua advised the buyer in this operation for the acquisition of 4 subsidiaries that operated in Nicaragua.
The sale included assets in 9 countries, and the work must be coordinated among all of them.
The firm had to develop a due diligence process that took several months of work regarding the most relevant aspects of the 4 companies located in Nicaragua, including corporate matters, contracts, financing, guarantees, regulatory issues, tax, intellectual property, properties, insurance, litigation, labor, among others.
In addition to reviewing the documents provided by the seller, independent investigations were carried out in the Public Registry, Courts and other public offices.
The case is complex because the companies analyzed are subject to different regimes, since two of them generate fuel-based energy (fuel oil) and two of them from wind power. The nature of the operations of each one is different and this requires carrying out a particular analysis of each one. To this end, an interdisciplinary team was integrated that could carry out a complete review of the documents and relevant aspects of the companies that are the object of this operation.