Chile's Endesa power picks HSBC to handle sale of Transelec
Chile's Endesa chose UK-based investment bank HSBC Investment Bank to handle the sale of power transmitter Transelec,
an Endesa spokeswoman said. She said the investment bank would determine whether Endesa should sell all or part of
Transelec in an auction, or float company equity on the local stock exchange.
Congressmen and anti-trust authorities have forced Endesa's parent company Enersis to divest. Besides Endesa and
Transelec, Enersis controls Chile's largest power distributor, Chilectra. Officials have said Enersis was operating a
vertically integrated power company illegally and said the firm must divest to comply with Chilean law.
Endesa controls 100 % of Transelec, the country's largest transmitter. The Endesa spokeswoman said that HSBC
Investment Bank has no time-frame to submit a sales strategy to Endesa. A Spanish electricity giant also called
Endesa owns about 64 % of Enersis.
