Equatorial Secures 30% Control of Copasa Through Priced Follow‑On Offering

Overview

• Copasa completed its follow‑on offering on Friday with shares priced at R$49.03 each and a primary tranche that moved about R$8.38 billion in market volume.
• Equatorial’s vehicle Gerais Saneamento was allocated 114,075,920–114,075,921 shares, equal to a confirmed 30% of Copasa’s capital and designated as the reference investor.
• A shareholders’ agreement between the State of Minas Gerais and Gerais Saneamento was signed to formalize the new governance structure with Copasa as an intervening guarantor.
• Equatorial requested an additional allocation equal to 12.6% of Copasa’s capital from up to 15% extra made available; that extra tranche remains subject to the offer’s ongoing bookbuilding process.
• Trading of the offered shares starts June 15 with settlement on June 16 and the broader operation is reported to deliver roughly R$13.9 billion to the state when including Equatorial’s R$5.6 billion payment.