Enel Américas through its subsidiary Enel Brasil Investimentos Sudeste acquired 73.4% of Enel Distribución São Paulo (former Eletropaulo) share capital, a distribution company that operates in the Brazilian State of São Paulo. The amount of the investment was BRL$ 5,553 million (approximately US$ 1,445 million), through a public tender offer held on June 4, and on June 7, 2018 the financial liquidation and transfer of shares were completed. In July 2018, Enel Sudeste acquired more than 19,9% of Enel Distribución São Paulo share capital for de BRL$ 1,516 million (approximately US$ 395 million).
Additionally, Enel Sudeste performed a capital increase for a total of BRL$ 1,500 million (approximately US$395 million). Therefore the ownership of Enel Brasil in Enel Distribución São Paulo reached 94.4%. For further information of this operation see Note 7.2. of the Consolidated Financial Statements Enel Américas of December 2018.
Enel Distribución São Paulo is the largest energy distribution company in Brazil, in terms of energy sales, it operates in 24 cities in the Metropolitan Region of São Paulo including the capital, the main economic and financial center in Brazil.
Its concession area amounts to 4,526km2, concentrates the largest domestic GDP and the highest demographic density of the country, 1,596 consumer units per km2 with 18 million people, equivalent to 32.6% of the total energy consumed in the State of São Paulo and 9.1% of the country.
During 2018, Enel Distribución São Paulo supplied energy service to 7,224,487-billed customers. Out of the total, 94% are residential clients, 6% are commercial clients, and 1% other users. Considering that this distribution company was consolidated since June 2018, sales amounted to 24,693 GWh.