Brazil's Cemig considers IPO of its gas distribution unit

State-run power utility Companhia Energética de Minas Gerais (Cemig) is considering an initial public offering of its gas distribution unit Gasmig, a company director said.

Cemig could reduce or sell its full stake during the IPO, Daniel Faria Costa, a Cemig director, said during a conference call. He also noted Cemig is in the final stages of closing an agreement with the Minas Gerais state government to extend Gasmig’s gas distribution contracts through 2053.

Reporting by Luciano Costa Writing by Ana Mano Editing by Chizu Nomiyama

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