Brazilian power generation and transmission company Neoenergia, a subsidiary of the global utility Iberdrola, has called a general shareholders meeting to approve the company’s listing on the domestic stock market. This is the second attempt as the company already announced an IPO on the Sao Paulo stock market in 2017, which was cancelled as prices did not match the stakeholder's expectations. Shareholders now anticipate a higher price for the IPO process, based on Neoenergia’s improved results since its merger with Elektro in June 2017.
Iberdrola holds a 52.45% interest in Neoenergia, while Brazilian pension fund Previ holds a 38.21% share; and Banco do Brasil a 9.34% share.
Neoenergia is a large power producer, transmitter and distributor with a total installed capacity of 4.5 GW and 19 200 km of transmission lines. It also has 13.7 million consumers (15% market share) and operates 590 000 km of distribution lines. The company operates through Coelba Companhia de Electricidade do Estado da Bahia with a 96.3% majority share, Cosern , Companhia Energética do Rio Grande do Norte (91.5%), Celpe (89.6%), and Elektro (99.6%) (acquired in August 2017).