The absorption of the Chilean-based subsidiary is part of the parent company’s strategy to simplify its corporate structure and is one of its main strategic plans for 2017- 2019.
The merger will allow Enel to benefit from the direct management of equity stakes in two Latin American sub-holdings, Enel Americas and Enel Chile, presently owned by Enel South America and the process is aimed at shortening the respective corporate control chain.
The merger plan is also subject to approval from its board members under a simplified procedure and in accordance with 2505 article of the Italian civil code and article 20.2 of Enel’s by-laws.
The company stated: "The legal effects of the merger will take place, in accordance with the applicable laws, either as of the last registration of the deed of merger with the Companies’ Register or as of the later date set down in the deed of merger."
The merger is exempted from the application of Enel’s Procedure for the management of transactions with related parties, as provided for transactions between Enel and its subsidiaries.
Recently, Enel’s Russian subsidiary had secured a contract for the construction of a 291MW wind farm in the country. The contract was part of the Russian government’s larger tender for 1.9GW of wind capacity in the country. This was the company’s foray into the renewable sector in Russia.
