Open

Coming up

Don't miss

Replay


LATEST SHOWS

DEBATE

Gaza: A Truce At All Costs?

Read more

AFRICA NEWS

Central African Republic: Brazzaville ceasefire talks deliver fragile deal

Read more

FOCUS

Sluggish tourist season in Crimea

Read more

ENCORE!

Bartabas : Mixing Christ with Spanish music and dancing horses

Read more

IN THE PAPERS

Shifts in the propaganda war waged between Israelis and Palestinians

Read more

IN THE PAPERS

French MPs face quandary in pro-Palestinian rallies

Read more

THE INTERVIEW

Yezid Sayigh, Senior Associate at the Carnegie Middle East Center in Beirut

Read more

#TECH 24

Mind the Gender Gap : getting more women into the tech sector

Read more

INSIDE THE AMERICAS

Bolivian children: heading to work aged 10

Read more

  • Wreckage of Algeria plane found in Mali

    Read more

  • Air Algérie crash: 'We should eliminate the missile hypothesis'

    Read more

  • BNP to pay $80 million for defrauding US Dept of Agriculture

    Read more

  • Protest turns deadly as Palestinians rally against Gaza offensive

    Read more

  • Pope meets with Sudanese Christian woman sentenced to death for apostasy

    Read more

  • Deadly strike on UN shelter in Gaza Strip

    Read more

  • Italy’s Nibali cruises to easy victory in 18th stage of Tour de France

    Read more

  • Iraqi parliament elects moderate Kurd as president

    Read more

  • US, European aviation agencies lift travel restrictions to Tel Aviv

    Read more

  • No end to fighting until Israel ends Gaza blockade, Hamas says

    Read more

  • Two foreign women shot dead in western Afghanistan

    Read more

  • At least 60 killed in attack on prison convoy near Baghdad

    Read more

  • Cycling is ‘winning the war on doping,’ says expert

    Read more

  • Ceasefire agreed for Central African Republic

    Read more

Business

France secures option for major stake in Alstom

© AFP file picture

Text by FRANCE 24

Latest update : 2014-06-23

The French government on Sunday said it had secured an option to buy a 20 percent stake in Alstom from current holder Bouygues, clearing the final obstacle for a tie-up between the country’s industrial jewel and US conglomerate General Electric.

“We have a purchase option that enables us to buy when the price is as low as possible,” Economy Minister Arnaud Montebourg told France 2 television.

Bouygues will meanwhile lend the shares to the French state so that the government can exercise an immediate role as an Alstom shareholder, Montebourg said.

The move fulfills the minister's pledge to ensure that the French government would retain a say in jobs and decision-making at the company, which builds power plants and France’s famed high-speed TGV trains.

Alstom’s board approved GE’s offer Saturday, a day after the government withdrew its long-held opposition and threw its support behind the American takeover, with a few conditions.

The government and Bouygues sought to reach a deal before the expiry on Monday of GE’s formal bid valuing the Alstom energy business at 12.35 billion euros.

For the next 20 months, their eleventh-hour agreement hands the state an option to purchase 20 percent of Alstom from Bouygues at an unspecified discount, provided the market value is at least 35 euros per share.

If by then the state has not bought 20 percent, either from Bouygues or on the market, it has the right to purchase up to 15 percent at a similar discount whatever the market price.

(FRANCE 24 with AP, REUTERS)

Date created : 2014-06-22

  • FRANCE

    Alstom’s board backs bid from General Electric

    Read more

  • FRANCE

    French government backs GE bid for Alstom

    Read more

  • FRANCE

    GE redesigns offer in battle for France’s Alstom

    Read more

COMMENT(S)