CESL Asia’s President and CEO, António Trindade, told Macau News Agency that the local investment firm joint bid with Portuguese company Alpac Capital to purchase energy equipment manufacturer Efacec is part of the company’s business diversification efforts.
Portuguese weekly newspaper Expresso reported last week that Alpac Capital delivered the letter of intent to the investment bank Haitong to enter the reprivatization of Efacec, whose sale process was launched in the first half of the year.
“It’s a confirmation of our interest in the purchase of Efacec. We decided to do it in partnership with a Portuguese company who had also expressed the same interest and had also been invited to make a bid. It’s part of our development strategy to diversify our activities through our Portugal base,” Trindade told MNA.
Based in Matosinhos, Portugal, EFACEC Power Solutions is the largest Portuguese corporation in the field of energy, engineering and mobility, such as charging solutions for electric vehicles, motorcycles and buses with integrated management systems.
In July of this year, Portuguese authorities indicated that the 71.73 per cent stake held by the government in Efacec would be made available for a direct sale, with around 10 interested non-binding proposals said to have been delivered at the time.
Egyptian group Elsewedy – one of the Alpac and CESL Asia consortium’s main competitors – submitted the highest bid, worth 130 million euros (MOP1.2 billion/US$154.3 million).
When inquired on the values submitted by the Alpac and CESL Asia consortium, Trindade only indicated that a full economic development report on Efacec will still be provided.
“However, we can say according to public information, that Efacec is the largest industrial/tech group in Portugal with a business volume above 400 million euros in the last years with its main activity area in Europe. It also has important business interests in the US, Africa and much less in Asia,” Trindade added.
CESL’s involvement in the deal will be a way of trying to reinforce Efacec’s business in the Asian market, with Portugues authorities having officially invited the company to take part in the tender after the local group showed interest in the project.
“It was not a random invitation, with the largest shareholder, the Portuguese government having conducted an initial screening,” the CESL Asia CEO noted.
Last year CESL Asia also bought Monte do Pasto, Portugal’s largest beef producer, for some 37.5 million euros, with the company’s CEO adding the business was progressing well despite the current anomalous situation caused by the Covid-19 epidemic.
“There has been a small interruption in [Monte do Pasto] production but not significant. We are restructuring the company and we are in the development stage of a sustainable meat production business [..] We’re developing a more direct supply to the consumer so they can have the meat completely produced under the sustainable and quality requirements we defined,” Trindade added.
“Monte do Pasto has almost 4,000 hectares of land and we will develop some 1,000 hectares into other agricultural purposes”
CESL Asia is a solutions company specializing in environmental infrastructure, energy, facilities management and urban planning, with local businessman and former legislator, Dominic Sio, one of its Directors.