Brazilian power distributor Centrais Eletricas Brasileiras SA (BVMF:ELET3), or Eletrobras, has approved the sale of equity interests in 582.8 MW of wind power assets to local energy company Omega Geracao SA (BVMF:OMGE3).

The deal is valued at approximately BRL 1.5 billion (USD 290.9m/EUR 245.2m) in total for the acquisition of Eletrobras' entire stake in the special purpose companies (SPEs) that hold the wind farms. The seller separated the assets in two different lots, Omega said on Thursday.

Specifically, Eletrobras is selling a 78% stake in the Eolica Santa Vitoria do Palmar and a 99.99% share in the Hermenegildo I, II, III and Chui IX clusters.

For the 402-MW Santa Vitoria asset in Lot 1, Omega committed to pay around BRL 1 billion, including BRL 434.5 million in cash and BRL 577 million in assumed debt. The company also reached a share exchange agreement with Brave Winds to acquire the remaining 22% of Lot 1 until June 30, 2022.

With a combined capacity of 180.8 MW, the other four wind parks were sold for BRL 512.7 million, including BRK 378.7 million in assumed debt. The cash payment in this transaction can increase by up to 15% depending on future energy generation.

Closing is subject to customary conditions, including a resolution of Eletrobras' general shareholders' meeting, scheduled for September 2, 2020.