Eletrobras’ privatization process may be suspended for up to 60 days, putting the operation at risk this year. The second stage of the judgment that defines points of the privatization process is scheduled for this Wednesday (20) at the TCU (Union Court of Auditors).
The tendency is for Minister Vital do Rêgo Filho to ask for a view, as he understands that he needs time to evaluate the vote that will be presented by the rapporteur, Minister Aroldo Cedraz.
The sale was modeled to occur through stock market capitalization. Shares and share receipts (ADRs) will be issued in Brazil and the United States, respectively. In this second judgment, the share price is under discussion.
On Tuesday night (19), Minister Cedraz was still finalizing the vote.
In the previous judgment, Minister Rêgo questioned the formula for calculating the value of the state-owned company, assessing which company would be worth R$ 130 billion and not the R$ 67 billion defined.
According to market analysts, who follow the procedures, the process needs to be concluded in the first half of the year, before the electoral campaign enters the decisive phase and alienates investors.
Requests for viewing can take up to 60 days —​the period that will be discussed in plenary. With the delay, the trial could be delayed until the end of June. As it will be necessary to follow the rite of preparation in the capital market, privatization runs the risk of being delayed until 2023.
The largest energy company in Latin America, Eletrobras is the owner or partner of the most important hydroelectric plants in Brazil, such as Belo Monte and Furnas, and is still responsible for almost 44% of the country’s transmission system.
The sale on stock exchanges seeks to dilute the Union’s participation, which needs to fall from 72% to 45%, raise funds to pay the grant to the State and transform the company into a corporation. No shareholder may hold more than 10% of the total shares.
Government allies have been pushing hard for the process to be completed on time.
Among the opponents of the project is the PT. Former president Luiz Inácio Lula da Silva, who leads polls for the presidential election, has already declared that the party does not support the operation. in an interview with Sheetdeputy Gleisi Hoffmann, president of the PT, stated that if the party wins the elections and the privatization of Eletrobras has been completed, the process would be reviewed.
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