AXIA Energia Announces PNC Share Redemption/Conversion Procedures

AXIA Energia S.A. has disclosed detailed procedures and timelines for the redemption or conversion of its Class "C" preferred shares (PNC Shares). The company will conduct an initial test transaction of up to BRL 4 billion to evaluate the redemption/conversion mechanism before full implementation. The process includes specific deadlines: announcement of redemption value (D0), record date (D+3 business days), ex-rights date (D+4), tax information submission for non-resident investors (D+4 to D+6), election period for conversion (D+6 to D+10), conversion date (D+12), and payment date (D+16). Shareholders can elect to convert PNC Shares to common shares at a 1:1 ratio instead of redemption, with automatic redemption for those who don't express preference. ADR holders will have their PNC Shares mandatorily redeemed without conversion rights. The company notes this is an unprecedented transaction and will reassess capital allocation quarterly going forward.