ENDESA Restructures Its Brazilian Shareholdings.MADRID, Spain -- The Board of Directors of ENDESA INTERNACIONAL, a subsidiary wholly-owned by ENDESA, S.A. (NYSE NYSE See: New York Stock Exchange :ELE ELE equine leukoencephalomalacia. ), has resolved to restructure its Brazilian shareholdings. To this end, it has started the process of incorporating a limited liability holding company registered in Brazil, called ENDESA BRASIL, S.A., to which it will contribute the shares it holds directly in subsidiaries domiciled in this country, as well as the Brazilian shareholdings of ENERSIS ENERSIS Energy Systems and Infrastructure , S.A., which in turn is controlled by ENDESA INTERNACIONAL. Once its Chilean subsidiaries, ENDESA CHILE and CHILECTRA, S.A., both subsidiaries of ENERSIS, S.A., join the process, the definitive holding company shareholder composition will look something like this: A) ENDESA INTERNACIONAL: 23.7% B) ENERSIS, S.A.: 23.5% C) ENDESA CHILE: 33.6% D) CHILECTRA, S.A.: 19.2% As a result, ENDESA's consolidated stake in the holding company now being created would be 61%, giving it control. The holding company's capital will total around 3.575 billion Brazilian reals, equivalent to approximately USD USD In currencies, this is the abbreviation for the U.S. Dollar. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 1.35 billion, an amount which corresponds to the book value as of 31 December 2004, according to Brazilian accounting principals, of the outstanding shares of the Brazilian subsidiaries which are held directly or indirectly by the contributing subsidiaries. This corporate restructuring will simplify the shareholder structure of the Company's Brazilian investments, enhance the stability of local cash flows, improve access to external financing, boost the group's positioning for development in the local market and facilitate operating synergies. * This document may contain certain forward-looking statements regarding anticipated financial and operating results and statistics that are subject to risks and uncertainties as well as to material risks, changes and other factors which may be difficult to predict, including, without limitation, those factors described in the Folleto Informativo Continuado of Endesa filed within the Comision Nacional del Mercado de Valores and in the Form 20-F of Endesa filed within the Securities and Exchange Commission, both for the fiscal year ended December 31, 2003. For all of these forward-looking statements, we claim the protection of the safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. for forward-looking statements contained in the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. For additional information please contact David Raya Raya may refer to:
The process by which the corporation communicates with its investors. Office, telephone # 212 750 7200 http://www.endesa.es |
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