The president of the Court of Justice of the State of Rio de Janeiro (TJ-RJ), judge Henrique Carlos de Andrade Figueira, suspended the injunctions that prevented the holding of the General Assembly of Debenture Holders of Furnas, which was scheduled for the morning of this Monday. (6). According to Eletrobras, the authorization for the issuance of debentures is a condition for carrying out the global public offering of the company’s shares.
The suspension had been decided by the judicial duty of the TJ-RJ at the request of the Association of Employees of Furnas (Asef), but the Attorney General’s Office (AGU) appealed and reversed the injunctions.
The meeting will discuss the prior authorization of the holders of the first issue of Furnas debentures, resulting from the capital increase of Madeira Energia SA, but the employee association questions that the process failed to comply with the deadline, violated the duty of informing the debenture holders summoned and violated rules governance, among other points.
By overturning the injunction, the president of the TJ-RJ stated that “the decision that suspended the General Assembly of Debenture Holders of Furnas causes a significant impact on the Brazilian electric sector planning, being capable of jeopardizing the tariff affordability and, consequently, the access of the most needy population to the essential service of electric energy”.
The judge adds that “although Asef originally claimed the existence of ‘several representations in progress at the Federal Audit Court to investigate billionaire and illicit contributions of funds in the companies Madeira Energia S/A (Mesa) and Santo Antônio Energia S/ A (Saesa)’, the privatization of Eletrobras was authorized by the Plenary of the Federal Audit Court on 05/18/2022”. According to the magistrate, “there are no indications that the holding of the General Assembly of Debenture Holders of Furnas could cause any direct or indirect threat to the treasury”.
Relevant fact
In the early evening, Eletrobras published a Material Fact for the market and shareholders. “It is hereby made public to inform its shareholders and the market in general that, on June 6, 2022, one of the conditions to which the Global Public Offering object of the Notice to the Market published on May 27, 2022 and again disclosed on 3 of June 2022, as described below (“Previous Approval Condition”), has been satisfactorily verified, therefore, the Global Public Offering is maintained, pursuant to the Global Public Offering.”
According to the state-owned company, “The Prior Approval Condition consisted of obtaining, by Furnas Centrais Elétricas SA, until June 6, 2022, the approval of the debenture holders of the 1st Issue of Furnas Debentures (as defined in the Preliminary Prospectus of the Global Public Offering) as the capital contribution resulting from the MESA Capital Increase (as defined in the Preliminary Prospectus of the Global Public Offering) is higher than the limit value for these situations defined in the Indenture (as defined in the Preliminary Prospectus of the Global Public Offering). According to the general meetings of debenture holders of the 1st Issue of Furnas Debentures held on May 30 and June 6, 2022, such approval was duly obtained, pursuant to the Deed of Issue.”
Article updated at 9:45 pm to add a Material Fact released by Eletrobras
