CEMIG: Dividends, DJSI Inclusion, and Foreign Debt Redemption

TL;DR

**CEMIG is paying dividends, staying green, and cutting foreign debt.**

AI Summary

Energy Company of Minas Gerais (CEMIG) filed a 6-K on January 10, 2024, detailing three key events: a December 14, 2023, notice to shareholders regarding dividends/interest on equity, a December 11, 2023, announcement that CEMIG was selected for the DJSI for the 24th consecutive year, and a December 21, 2023, notice about the conclusion of a partial redemption of foreign debt bonds. This matters to investors because it signals CEMIG's commitment to shareholder returns, its strong sustainability performance, and its proactive management of debt, all of which can positively influence stock valuation and investor confidence.

Why It Matters

This filing shows CEMIG is actively managing its finances and debt, rewarding shareholders, and maintaining its strong sustainability reputation, which can enhance its appeal to investors.

Risk Assessment

Risk Level: low — The filing reports positive corporate actions like debt reduction and dividend announcements, indicating sound financial management rather than new risks.

Analyst Insight

An investor should view this filing as a positive signal, indicating strong corporate governance, a commitment to shareholder returns through dividends, and prudent financial management through debt reduction. This could warrant further research into CEMIG's dividend policy and long-term debt strategy.

Key Numbers

• 24th consecutive year — DJSI inclusion (highlights CEMIG's long-standing commitment to sustainability)
• December 14, 2023 — Notice to Shareholders date (date of dividend/interest on equity announcement)
• December 21, 2023 — Notice to the Market date (date of foreign debt bond redemption announcement)

Key Players & Entities

• Energy Company of Minas Gerais (company) — the registrant filing the 6-K
• CEMIG (company) — the common abbreviation for the registrant
• Leonardo George de Magalhães (person) — Chief Finance and Investor Relations Officer who signed the filing
• Securities and Exchange Commission (company) — the regulatory body to which the 6-K was filed
• DJSI (company) — Dow Jones Sustainability Index, a benchmark for sustainable companies

Forward-Looking Statements

• CEMIG's continued inclusion in the DJSI will attract more ESG-focused investors. (CEMIG) — medium confidence, target: 2025-01-10
• The partial redemption of foreign debt bonds will positively impact CEMIG's credit rating. (CEMIG) — medium confidence, target: 2024-07-10

FAQ

Key Financial Figures

• $1,322,561,000.00 — yment is as follows: 1. Gross amount: R$1,322,561,000.00 (one billion, three hundred and twenty-
• $0.60102079554 — nd reais) 2. Gross amount per share: R$0.60102079554 per share, to be paid with the mandator
• $375,000,000.00 — .25% p.a., in the principal amount of US$375,000,000.00 (three hundred and seventy-five million
• $1,823,400,000.00 — redemption represented a reduction of R$1,823,400,000.00 (one billion, eight hundred and twenty-
• $381,000,000.00 — es, maturing in December 2024, is now US$381,000,000.00 (three hundred and eighty-one million U

Filing Documents

• cig20240110_6k.htm (6-K) — 33KB
• cig202401106k_001.jpg (GRAPHIC) — 9KB
• cig202401106k_002.jpg (GRAPHIC) — 7KB
• 0001292814-24-000052.txt ( ) — 57KB

Forward-Looking Statements

Forward-Looking Statements This report contains statements about expected future events and financial results that are forward-looking and subject to risks and uncertainties. Actual results could differ materially from those predicted in such forward-looking statements. Factors which may cause actual results to differ materially from those discussed herein include those risk factors set forth in our most recent Annual Report on Form 20-F filed with the Securities and Exchange Commission. CEMIG undertakes no obligation to revise these forward-looking statements to reflect events or circumstances after the date hereof, and claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995.

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. COMPANHIA ENERGÉTICA DE MINAS GERAIS – CEMIG By: /s/ Leonardo George de Magalhães . Name: Leonardo George de Magalhães Title: Chief Finance and Investor Relations Officer Date: January 10, 2024 Index 1. Notice to Shareholders dated December 14, 2023 – Dividends/Interest on Equity Index COMPANHIA ENERGÉTICA DE MINAS GERAIS - CEMIG PUBLICLY-HELD COMPANY Corporate Taxpayer’s ID (CNPJ): 17.155.730/0001-64 Company Registry (NIRE): 31300040127 NOTICE TO SHAREHOLDERS Declaration of Interest on Equity We hereby inform our shareholders that the Board of Directors approved the declaration of Interest on Equity - IoE . Detailed information about the payment is as follows: 1. Gross amount: R$1,322,561,000.00 (one billion, three hundred and twenty-two million, five hundred and sixty-one thousand reais) 2. Gross amount per share: R$0.60102079554 per share, to be paid with the mandatory minimum dividend for 2023, with a 15% withholding income tax, except for shareholders exempt from said withholding, under the law in force; 3. Date “with rights”: shareholders of record on December 21, 2023 holding common and preferred shares will be entitled to the payment; 4. Date “ex-rights” : December 22, 2023; 5. Payment date: 2 (two) equal installments, the first of which to be paid by June 30, 2024 , and the second by December 30, 2024 . Shareholders whose shares are not held in custody at CBLC and whose registration data is outdated are advised to go to a branch of Banco Itaú Unibanco S.A. (the institution managing CEMIG’s Registered Share System) bearing their personal documents for the due update of their registration data. Belo Horizonte - MG, December 14, 2023. Leonardo George de Maga

View Full Filing

View this 6-K filing on SEC EDGAR