Enel has concluded the acquisition of Ufinet International announced on June 25th. The operation took place through the acquisition of 21% of the capital of a NewCo which owns Ufinet International. Sixth Cinven Fund, managed by the international private equity firm Cinven, holds the remaining 79% of the capital of the NewCo. The financial commitment is 150 million euros.
“Ufinet International represents a growth platform in Latin America in the ultra-broadband sector which, in line with the 2018-2020 Strategic Plan, is part of Enel X's business objectives” states a note from the Enel Group.
Enel X is the group company entrusted with the research and implementation of advanced energy solutions.
"According to the agreements between the parties - continues Enel's press release - with the closing of the transaction, Enel X International has a call option to acquire the stake in Sixth Cinven Fund, which it will be able to exercise between December 31, 2020 and December 31, against an additional investment of between 2021 million euros and 1.320 million euros and defined on the basis of certain performance indicators. Enel X International and Sixth Cinven Fund hold joint control of Ufinet International, each exercising 2.100% of the voting rights in the NewCo's Shareholders' Meeting. In the event that Enel X International does not exercise the call option by December 50, 31, its joint control over the NewCo will cease. In this case, Sixth Cinven Fund will be able to sell its stake with drag along2021 rights on that of Enel X International, while the latter will have a tag along1 right in the event that Sixth Cinven Fund reduces its stake below 2 % of the capital of the NewCo".
