Chile Enersis Secures Shareholder Subscription for Capital Increase

Chilean energy holding company Enersis SA (ENI, ENERSIS.SN) has secured shareholder subscriptions for its $6 billion capital increase, Enersis said.

After months of struggling with minority shareholders over the increase, the largest in Chile's history, Enersis was able to raise the funds it needs to consolidate all of its parent company's operations in Latin America.

Enersis's controlling shareholder, Spain's Endesa SA (ELEZY, ELE.MC), contributed about $3.64 billion in noncash assets to the capital increase, including stakes in several Latin American utilities.

Minority shareholders, whose pre-emptive right to buy additional shares in the company ends Tuesday, are expected to subscribe about $2.36 billion in cash.

After the deal, Endesa's shares in Enersis won't surpass the 65% limit allowed by law, Enersis said in a regulatory filing late Monday.

Before the increase, Endesa had about a 61% stake in Enersis.

Enersis will become Endesa's and its parent company Enel SpA's (ENEL.MI) only investment vehicle in Latin America--with the exception of Enel Green Power SpA (ELPSY, EGPW.MI).

The energy company plans to use part of the increase's cash proceeds for mergers and acquisitions in the region.

Write to Graciela Ibanez at [e-mail]