Sempra Energy, north America’s premier energy infrastructure company, is one step closer to own Mexican wing IEnova on its entirety; the company has completed an exchange offer to acquire the outstanding shares of IEnova that did not already own.
Firstly, the company announced this Tuesday the expiration of the offer, due this Monday, May 24th. Sempra Energy offered to exchange each outstanding IEnova ordinary share for 0.0323 shares of Sempra Energy’s common stock.
Secondly, out of the 433,242,720 IEnova ordinary shares eligible for participation; 381,015,194 ordinary shares were validly tendered and accepted. Consequently, in exchange for the ordinary shares, Sempra Energy will issue 12,306,777 shares of its common stock to the IEnova shareholders who participated in the exchange offer.
Thirdly, the settlement of the exchange offer, which is expected to occur on May 28, 2021. After this, Sempra Energy will own 96,4% of IEnova; successfully reaching its goal to exceed the 95% ownership of the Mexican company.
Moreover, the company also announced that it is going to acquire the remaining 3,6% interest in the company; and now, after the offer, is one step closer to achieve than goal.
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Sempra Energy creating a unique energy platform
In addition, after the offer, Sempra Energy will begin to trade on the Mexican Stock Exchange, also known as Bolsa Mexicana de Valores; and will continue to trade on the New York Stock Exchange.
Furthermore, according to the company’s statement, the exchange offer is part of a series of transactions originally announced in December 2020; intended to simplify the company’s non-utility infrastructure investments, under one self-funding platform.
Consequently, Sempra Infrastructure will combine strengths with Sempra LNG; a leading developer of liquefied natural gas (LNG) export infrastructure, and IEnova; which is also one of the largest private energy companies in Mexico; and also, a leading developer and operator of renewables and natural gas infrastructure in that country.
Therefore, with such platform, Sempra Energy will create a unique platform for future developments.
Finally, about the offer, Tania Ortiz, CEO of IEnova, said. “Today’s announcement advances our financial strength as part of the Sempra Infrastructure platform; and also bolsters our commitment to investing in the energy infrastructure needed to support Mexico’s economic growth.”