Two US companies, Public Service Enterprise Group (PSEG) and Sempra Energy intend to buy the Chilean company Chilquinta Energia for around $830 million.

Chilquinta Energia supplies electricity to Chile, Argentina and Peru, operates a natural gas distribution company in Chile and has a stake in Argentina’s largest thermal electricity generating company.

Under the terms of the deal, Sempra and PSEG will buy 90 per cent of the shares in Chilquinta Energy from its parent company. The buyers will then make a tender offer to purchase the remaining 10 per cent of shares in the company that are held by other shareholders.

Sempra Energy will oversee operations in Chile while PSEG will run the operations in Peru and Argentina.