TECO Guatemala Sells Interest in Electric Distribution Firm

25 October 2010 (Last Updated October 25th, 2010 18:30)

TECO Guatemala, along with Iberdrola Energia and Energias de Portugal, (EDP) has sold its interest in Distribucion Electrica Centro Americana II (DECA II) to Empresas Publicas de Medellin (EPM) for $605m. DECA II is a holding company in which Iberdrola held a 49% interest, TECO Guatemal

TECO Guatemala, along with Iberdrola Energia and Energias de Portugal, (EDP) has sold its interest in Distribucion Electrica Centro Americana II (DECA II) to Empresas Publicas de Medellin (EPM) for $605m.

DECA II is a holding company in which Iberdrola held a 49% interest, TECO Guatemala indirectly held a 30% interest and EDP held a 21% interest.

The DECA II consortium in turn holds an 80.9% ownership interest in Empresa Electrica de Guatemala (EEGSA) and other affiliated companies.

EEGSA is the largest Guatemalan distribution utility in the country and serves Guatemala City and surrounding areas.

TECO Guatemala's portion of the total purchase price is $181.5m.

TECO Guatemala president Phil Barringer said that the contract allows TECO Guatemala to continue its focus on generating electricity for the residents of Guatemala through its two remaining power generation assets.