On June 24, 2020 local time in Chile, The acquisition of Chilquinta Energía of Chile by State Grid Corporation of China has been successfully completed. The acquisition is the largest investment project of Chinese enterprises in the energy and public utilities sectors of Chile, and is of great significance to deepening the comprehensive strategic partnership between China and Chile, expanding bilateral economic and trade exchanges, and pushing forward the “One Belt One Road Initiative”.
Chilquinta Energía is the third largest power distribution enterprise in Chile, owning 16911 kilometers of power distribution line and a service population of over 2 million, and its power distribution service is in the leading position among similar enterprises in Chile in terms of its quality. Chilquinta Energía is also active in the power transmission business with a transmission line of 1109km. In October 2019, State Grid Corporation of China executed an equity purchase agreement with seller Sempra Energy of USA, pursuant to which State Grid Corporation of China acquired 100% of the equity interest in Chilquinta Energía. In the preparation stage for project closing, the State Grid overcame the global spread of COVID-19, the border closure by Chilean government and other difficulties, obtained the special entry permits, and finally achieved the project on-site delivery and smooth takeover.
JunHe as the legal advisor of the banks which provided financing for this acquisition drafted, revised, and negotiated the financing documents; organized overseas lawyers to carry out legal work; provided legal advice in respect of the examination and approval both home and abroad; organized and coordinated the parties to the transaction to prepare the closing documents; and provided comprehensive legal services to the financing banks.
The leading partner of this case is YANG, Yanning.