US-based gas and power utility Sempra Energy has initiated the process to sell its equity interests in its South American businesses and in particular in the Peruvian and Chilean distributors of electricity Luz del Sur and Chilquinta Energía. Sempra Energy expects the planned divestment processes to be completed by the end of 2019. From now on, the company will focus on North American markets.
In Peru, Sempra Energy acquired an approximate 42% ownership interest in Luz del Sur in 1999 and raised its stake to 83.6% in 2011. The company s the largest electric company in Peru and serves more than 4.9 million power consumers in the southern region of Lima. Luz del Sur is also involved in the development of several hydropower projects such as the Santa Teresa hydroelectric plant in central Peru.
In Chile, Sempra Energy acquired a 50% stake in Chilquinta Energía in 2011 and raised its stake to 100% in 2011. Chilquinta Energia is the third-largest distributor of electricity in Chili, providing electricity to approximately 2 million consumers in the cities of Valparaiso and Viña del Mar in central Chile. The company is also involved in the development and operation of power transmission lines. It is entirely owned by Sempra Energy.