Gerdau SA agreed to purchase the equity stakes held by Copel and Celesc in the Dona Francisca hydroelectric plant on June 15, 2026.

The move allows the steelmaker to secure full control of the asset and expand its capacity for renewable self-generation. As heavy industry faces increasing pressure to decarbonize, owning power generation assets helps reduce reliance on external grids and lowers long-term energy costs.

The transaction includes the acquisition of a 23.03% stake held by Companhia Paranaense de Energia, known as Copel [1]. Gerdau will also purchase the stake held by Celesc, another Brazilian power firm [2].

Financial terms for the deal specify an enterprise value of 150 million reais, which is approximately $29 million [1].

By consolidating ownership of the Dona Francisca plant, Gerdau aims to integrate more sustainable energy sources directly into its industrial operations. This strategy aligns with broader corporate efforts to transition toward greener energy portfolios, a critical step for steel production which is traditionally energy-intensive.

The acquisition marks a shift in the ownership structure of the plant, moving it from a shared venture between power utilities and an industrial user to a wholly-owned corporate asset [2].

“Gerdau agreed to purchase the equity stakes held by Copel and Celesc in the Dona Francisca hydroelectric plant”

This acquisition reflects a growing trend of 'industrial self-generation,' where energy-intensive companies like steelmakers buy power plants to hedge against volatile electricity prices and meet carbon-reduction targets. By controlling the source of its power, Gerdau reduces its operational risk and secures a stable supply of renewable energy necessary for sustainable manufacturing.