By Saabira Chaudhuri
Sempra Energy's (SRE) Mexico unit unveiled an offering of
between 15% to 20% of its shares and will also offer shares in an
initial public offering to be registered in Mexico.
Sempra Mexico said it expects to use the net proceeds of the
offerings primarily for general corporate purposes, including the
funding of its current investments and ongoing expansion plans.
Sempra owns electric and natural-gas utilities in California,
utilities in South America, and natural-gas pipelines and storage
facilities and liquefied natural-gas terminals in the U.S. and
Mexico.
On Monday, the company said its Mexico arm has filed
applications with the Mexican National Banking and Securities
Commission to register its shares with the Mexican National
Securities Registry. It has also filed with the Mexican Stock
Exchange to list its shares for trading.
Sempra Mexico noted that the closings of the two offerings,
which are expected to occur by April, are conditioned on each
other.
In December, Sempra Energy agreed to sell about half of the
capacity of an Arizona natural gas-fired power plant to the Salt
River Project Agricultural Improvement and Power District for $371
million.
And in October, Sempra announced plans to build a $1 billion
natural gas pipeline network for Mexico's state-owned utility that
will connect pipelines in Arizona with power plants in western
Mexico.
Shares of Sempra rose 1.5% in recent trading to $77.94.
Write to Saabira Chaudhuri at saabira.chaudhuri@dowjones.com
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