Daily Current "Brazilian Utilities" Ajeje

Research evidence excerpt

Daily Current "Brazilian Utilities" Ajeje

Global Research

11 June 2026ab

Daily Current Equities

Latin AmericaBrazilian Utilities

Utilities

Giuliano Ajeje

CMSE maintains CVaR 15/40 for system operation from 2027 Analyst

According to MegaWhat, the Electric Sector Monitoring Committee (CMSE) decided giuliano.ajeje@ubs.com

on Wednesday, June 10, to maintain the CVaR risk aversion parameter at 15/40 for +55-11-2767 6371

use in the operating and pricing models of the electricity sector as of January 2027. Henrique Simoes

The decision maintains the criterion currently in force since January 2025. The Associate Analyst

topic had been discussed by the sector amid pressure from agents who defended the henrique.simoes@ubs.com

adoption of the 15/30 pair, considered less risk-averse and associated with less +55-11-2767 6308

preventive thermal dispatch. (link) Julia Ongarato

Associate Analyst

Engie follows up on R$8.3bn to buy stake in Jirau and deleverage julia.ongarato@ubs.com

+55-11-2767 6694

According to Brazil Journal, Engie announced an offer of R$8.3bn in new shares to

finance the acquisition of 40% of its French parent company in the Jirau

hydroelectric plant, evaluate other potential businesses and deleverage its balance

sheet. At the center of the transaction: Engie Brasil Participações, which owns

68.7% of Engie Brasil Energia – the company listed on B3 – will subscribe to the offer

by contributing its shares in Jirau, which are being valued at R$ 5.7 billion. (link)

(see our report here)

UBS - recently published reports

On June 01 we updated our Sanepar model (Methodology Shift - increasing PT, but

maintaining a Neutral rating). We incorporated recent results, the 2026 tariff

adjustment, and updated volume/macro assumptions, while adding higher PPP

costs from 2027.