The European Commission said Tuesday that the EC has approved, under the EU Merger Regulation, the proposed creation of a company jointly controlled by Votorantim of Brazil and the Canada Pension Plan Investment Board.
The newly created joint venture, VTRM Energia Participações, will operate wind farms in Brazil. As part of the proposed concentration, Votorantim and the Canada Pension Plan Investment Board will also jointly acquire Brazilian wind farm operator Ventos do Araripe III, whose assets will be transferred to the joint venture.
Votorantim is active in a variety of business sectors including, among others, cement, concrete, mining, metallurgy, pulp, paper, chemical, and electricity.
The Canada Pension Plan Investment Board is an investment management organisation that invests in public equities, private equities, real estate, infrastructure, and fixed income instruments.
The Commission said the EC concluded that the proposed transaction would raise no competition concerns as the joint venture has no actual or foreseen activities within the European Economic Area. The transaction was examined under the simplified merger review procedure.