Sempra Energy

Sempra Energy (SRE - Get Report) said Monday it agreed to sell its Chilean business to China's State Grid International Development for $2.23 billion in cash.

Shares were up slightly to $146.34.

The sale includes Sempra's  100% stake in Chilquinta Energia as well as its interest in Tecnored, which provides electric construction and infrastructure services to Chilquinta Energia and third parties, and its 50% interest in Eletrans, which owns, constructs, operates and maintains power transmission facilities.

The sale is expected to be completed in the first quarter of 2020. Sempra announced in September that it was selling its Peruvian business, including its 83.6% stake in Luz del Sur to China Yangtze Power International (Hongkong) Co.

The transactions conclude Sempra Energy's planned sale of its South American businesses for combined proceeds of about $5.82 billion in cash. Jeffrey W. Martin, chairman and CEO of Sempra Energy, said the proceeds from the sales will be used to strengthen the company's balance sheet and support its facilities in California and Texas.

Chilquinta Energia is the third-largest distributor of electricity in Chile, providing electricity to about 2 million consumers in Valparaíiso and Maule in central Chile.

Sempra closed down slightly on Friday to $145.49.