French energy group GDF Suez is to sell a stake of 20 percent in a giant dam being built in Brazil to Japanese group Mitsui & Co to reduce debt, GDF Suez said on Monday.
The French group said that the value of the 20 percent was based on a valuation of the entire project of 5.7 billion real (2.2 billion euros, $2.85 billion).
The dam being built at Jirau is one of the biggest projects for a hydroelectric power station under way anywhere in the world. The new plant will be able to produce 3,750 megawatts and is due to be launched at full capacity in 2015.
The transaction will leave GDF Suez as the main shareholders with an interest of 40.0 percent. Two subsidiaries of Brazilian company Electrobras, Chesf and Electrosul, will also each hold 20 percent.
GDF Suez said that the deal enabled it to broaden its partnership with Mitsui in Latin America, continuing successful cooperation on joint investment in Canada, Europe, the Middle East, Africa, Asia and Australia.
GDF Suez reveals sale of Brazil dam stake to Mitsui
