PRINTEIC Electricity SA (EIC) announces that it has entered into a formal sale and purchase agreement with Petrobras Brasileiro SA for EIC’s 2% interest in Termobahia Ltd, the Brazilian independent power generator.
The agreement became effective on August 10, 2006 and the related payments were transferred to EIC on August 14, 2006. EIC was a shareholder in Termobahia since start of construction for a period of more than five years. Considering all related cash flows, EIC's investment has yielded a compounded annualized return of almost 20% (in USD). The divestiture of Termobahia clears the way to undertake new investments consistent with the investment strategy which became effective on July 1, 2005.
