Minas Gerais-based Compañía Energética de Minas Gerais SA (Cemig), the fourth largest energy company in Brazil, has announced the acquisition of 100% of the special-purpose companies owning photovoltaic plants with an installed capacity of 16.2 MW.

The closing of the transaction is subject to the fulfillment of the previous usual conditions in this type of acquisition. The total amount to be paid by Cemig SIM will be about 100 million riyals ($19.3 million) and will occur with the start-up of the factories.

In this regard, the Prudente Morais plant is expected to do so in July, the Montes Claros plant in September 2022, and the Jequitibá plant in February 2023. The plants will serve approximately 2,500 customers in the low-voltage commercial and industrial market.

Cemig explains that “this process advances the company’s sustainable growth strategy in the distributed generation market.” At the end of last year, it announced its plans to start operating 1 GW renewable. The company then said it is investing a record amount of 22.5 billion riyals ($4 billion) in Minas Gerais until 2025, and plans to build two floating projects with a capacity of 78 and 273 megawatts.