(Adds details of dispute)
SAO PAULO/BRASILIA, Oct 20 (Reuters) - Minority shareholders in the renewable energy unit of Brazil´s power holding company CPFL Energia SA are questioning the price offered by State Grid Corp of China to buy out minority shareholders in the unit, according to documents seen by Reuters.
A group of minority shareholders filed a complaint with Brazil’s securities regulator CVM questioning the price set by State Grid to buy out minority shareholders in CPFL Energias Renováveis SA, the documents show.
The shareholders include funds managed by Patria Investimentos Ltda, Grupo BTG Pactual, German bank DEG and the International Finance Corporation, an arm of the World Bank.
State Grid’s tender offer to minority shareholders of parent CPFL Energia had a higher premium over market prices that was not applied in the offer price for shareholders in the renewable unit, the group said in their complaint.
According to the documents, State Grid are offering 12.20 reais per share, but minority shareholders want 16.74 reais. CVM has asked for more information on the way the price was defined by the Chinese company, and delayed the authorization for the tender offer in the renewables unit.
Regulator CVM declined to comment. Patria, IFC, DEG and State Grid did not immediately comment. Newspaper Valor Economico reported the dispute earlier on Friday.
The acquisition of power holding company CPFL by State Grid was the largest deal in Brazil last year. State Grid took formal ownership of the Brazilian company in January. (Reporting by Tatiana Bautzer in Sao Paulo and Jake Spring in Brasilia; Editing by Andrea Ricci and Richard Chang)