The Brazilian unit of power company China Three Gorges Corp, CTG Brasil, is expected to file this month for an initial public offering, aiming to raise USD 1 billion.
CTG Brasil hired the investment banking units of Citigroup, Bank of America, Itau Unibanco Holding, Banco Bradesco SA and Banco BTG Pactual, according to sources quoted by Reuters. Citi will lead the syndicate, two of the sources said.
The company is expected to issue around USD 1 billion in new shares and receive all proceeds, the sources added.
There is a chance of CTG pricing the offering in December, making its IPO the only one on Brazilian exchange B3 in 2022. An offering early next year is more likely, the three sources said.
CTG, the world’s largest hydroelectric power generator, had an installed capacity of 8.28 gigawatts in Brazil in 2018, or nearly 8% of the country’s hydroelectric generation, it said on its website.