SAO PAULO, Jan 24 (Reuters) - Brazilian power company Companhia Energetica de Sao Paulo (CESP) on Monday said its board of directors has approved terms of a deal with conglomerate Votorantim SA and Canada Pension Plan Investments Board (CPPIB) to merge the trio's energy assets in Brazil.

CESP is expected to become a full subsidiary of Votorantim and CPPI's joint venture VTRM Energia once the deal is closed. The terms of the transaction, which valued CESP at about 9.1 billion reais ($1.67 billion), were disclosed this month.

The company has also scheduled a shareholder meeting for Feb. 15 to approve details on the deal, with CESP's shares to be incorporated by VTRM and begin trading on the Sao Paulo stock exchange's Novo Mercado segment rather than the current Level 1 segment.

($1 = 5.4535 reais) (Reporting by Gabriel Araujo Editing by David Goodman)