Sao Paulo government to privatize Sabesp water utility but keep stake
SAO PAULO, July 31 (Reuters) - Brazilian state-run water utility Sabesp will be partially privatized through the sale of shares, Sao Paulo state Governor Tarcisio de Freitas said on Monday, adding that the state will maintain a minority stake.
The plan aims to add additional 10 billion reais in investments and generate around 66 billion reais ($13.97 billion) by 2029 for the utility, Freitas said during an event. He noted that the funds would enable the southeastern state to anticipate an overhaul of its water sanitation services in three years.
The privatization plan still needs regulatory approvals.
In March, Freitas said the state would hire the World Bank's International Finance Corporation for privatization studies, which is expected to take place in 2024. ($1 = 4.7241 reais) (Reporting by Patricia Vilas Boas; Writing by Carolina Pulice; Editing by Kim Coghill)
