RIO DE JANEIRO, April 22 (Reuters) - Brazilian power company Eneva SA pulled out of a deal to buy rival AES Tietê after the AES board rejected the bid, Eneva and AES Tiete said in filings.
Eneva announced on March 1 a hostile bid for AES Tiete, controlled by AES Corp, in a 6.6 billion real ($1.25 billion) shares and cash transaction.
On Monday, AES' Chief Financial Officer Clarissa Della Nina said that AES would be willing to keep discussing the takeover bid if the terms were improved.
Eneva said it was pulling out of the deal after AES Tiete said it would not extend voting rights to preferred shares, according to Eneva breaking rules of the stock exchange segment in which AES Tiete is listed. (Reporting by Gabriel Stargardter)