Itaúsa has become a strategic investor in Aegea Saneamento with a R$ 1.33 billion capital infusion, acquiring 10.20% of the company to enhance its sanitation operations in Brazil.

Information on the Target

Aegea Saneamento has recently announced Itaúsa as its newest strategic investor. With an initial investment of R$ 1.33 billion, the Brazilian investment holding company now owns 10.20% of Aegea's equity. This stake includes the acquisition of 8.32% through the purchase of ordinary shares from Equipav for R$ 1.065 billion, along with a capital increase of 2.09% representing R$ 274.8 million in new shares.

In addition to Itaúsa, Singapore's sovereign wealth fund, GIC, is also participating in this capital increase, contributing R$ 64.8 million to maintain its 19.08% ownership in the company's ordinary shares. Consequently, Aegea will receive a total capital infusion of R$ 339.6 million from the combined contributions of both investors.

Industry Overview in Brazil

The sanitation sector in Brazil has faced significant challenges, with over 100 million Brazilians lacking access to proper sewage collection and treatment, and approximately 35 m