Algonquin Power & Utilities Corp. agreed to sell its 64% stake in Chilean water utility Suralis S.A. for $126.5 million, with an additional earnout of up to $1.5 million. The buyer, a fund managed by Toesca S.A. Administradora General de Fondos, will acquire full control of the utility, which serves customers in Chile’s Los Lagos and Los Rios regions.
The transaction, expected to close within the next two quarters subject to customary conditions including merger control approval, aligns with Algonquin’s strategy to simplify its geographic footprint and redeploy capital. Proceeds will be directed toward debt reduction and Algonquin’s $3.2 billion capital plan for 2026–2028.
Algonquin Power & Utilities, a diversified international utility serving over one million customer connections primarily in the United States and Canada, is advised by Centerview Partners LLC on financial matters and Carey y Cía. Ltda. on legal aspects. Rod West, Algonquin’s Chief Executive Officer, described the deal as a step toward focusing on core regulated utility businesses.
Toesca’s Chief Executive Officer, Carlos Saieh L., noted the acquisition complements the firm’s existing stake in Suralis, reinforcing its presence in Chile’s utility sector.
