Ya Santiago, April 27, 2023
ANDEAN WATERS
ESSENTIAL FACT
AGUAS ANDINAS S.A.
Registration Registry of Securities N° 0346
Mrs. Solange Berstein Jáuregui
President
Financial Market Commission
Present
Dear Sir or Madam:
In accordance with the provisions of Articles 9 and 10 of Law No. 18,045, on the Securities Market, in General Standard No. 930 and Circular No. 1,072, both of the Commission for the Financial Market (“CMF”), it is hereby communicated as an Essential Fact, with respect to Aguas Andinas S.A. (the “Company”), The following:
On August 26, 2022, Aguas Andinas informed that Commission that it had been notified of various claims for compensation of damages in the amount of Ch$65,222,222,367 filed in an arbitration proceeding initiated against it by Eco Acquisitionco SpA, for alleged breaches in the sale and assignment of the Company’s direct and indirect participation in Empresa de Servicios Sanitarios de Los Lagos S.A. (ESSAL).
In the context of the aforementioned arbitration before the Arbitrator Mr. Alberto Lyon Puelma, the parties have today signed a settlement agreement ending this litigation and precautioning any eventual litigation regarding the sale of ESSAL.
The transaction expressly acknowledges that in the process and in the sale of ESSAL, both Aguas Andinas and the other parties involved acted in good faith, fulfilling all their obligations with the diligence and care required by law.
Similarly, the company, by way of reciprocal concession and against the withdrawal of all the lawsuits filed and the total settlement of the sales contract, paid compensation equivalent to $ 10,249,330,833.
Likewise, the agreement contemplates that the Company assumes control and the results of a limited group of current litigations followed before Civil Courts of which ESSAL S.A. is a party, derived from events that occurred while the Company was still controlling the latter.
Finally, by virtue of the reciprocal concessions set forth above, the intervening parties and third parties related to the “Transaction Agreement” were given complete and total termination with respect to this agreement.
Yours sincerely yours,
Marta Egan
General Manager
C.C.: Santiago Stock Exchange
Electronic Stock Exchange of Chile
ICR Chile, Risk Rating Agency
Fitch Ratings, Risk Rating Agency
Banco de Chile
Link to file in CMFChile: https://www.cmfchile.cl/sitio/aplic/serdoc/ver_sgd.php?s567=276c203493b0a4c816e54741f235e45eVFdwQmVVMTZRVEJOUkVVMFRXcEZOVTFCUFQwPQ==&secuencia=-1&t=1682655001
