this Government of France Announced that it has launched an acquisition offer for 15.90% of Électricité de France (EDF) does not control the price 12€ per sharethis will increase the amount of company re-nationalisation. 9.7 billion euros, As approved by the French Ministry of Economy and Finance.
EDF’s shares, which were discontinued on the Paris Stock Exchange on 13 July, resumed trading this Tuesday and rose 15.26% to 11.78 euros as the terms of the government offer were announced.
The ministry announced The government intends to purchase 15.9% of EDF’s capital and 60% of convertible and/or convertible bonds for new or existing shares (Oceane) it does not own.through a simplified takeover proposal to be submitted to the Financial Markets Authority (AMF) early next September.
According to the proposal submitted, the existing minority shareholders of EDF would receive a payment of 12 euros for each share held in the electricity company, representing a 53% premium over the price recorded on 5 July. French Prime Minister Elisabeth Borne confirmed the Government’s intention to re-nationalize the company.
Same way, The government announced that it will pay 15.64 Euros for each convertible and/or convertible bond. For new or existing shares (Oceane) that you do not own.
The Ministry stated that after the proposal is completed, the compulsory sale will be followed if the implementation conditions, if any, are met.
“This operation reinforces the energy independence of France. It provides the EDF with the necessary tools to accelerate the implementation of the new nuclear program desired by the President and the deployment of renewable energies in France,” said the French Minister of Economy, Finance and Finance. “EDF can count on the full support of the Government on an unprecedented scale for 40 years for this industrial project,” stressed Bruno Le Maire of Industrial and Digital Sovereignty.
The renationalization of the EDF will mean fulfilling one of the promises made during the re-election campaign last March. By French President Emmanuel Macron, who advocated the nationalization of the company as a pillar of its strategy to strengthen French energy independence and achieve zero emissions through the construction of new nuclear power plants.
Last April, EDF completed a capital increase of EUR 3,150 million in which 2,700 million equivalent commitments were made by the Government, equivalent to its weight in the company, to finance the Group’s development operations between 2022 and 2024; strengthen its credit rating and access to financial markets; and more generally, to strengthen the financial flexibility of the electric company.
French ‘vice’ posted an attributable net profit of €5,113m in 2021Gross operating result (Ebitda) increased by 11.3% to 18.005 million, almost eight times more than the result of 650 million Euro recorded in the previous year.
Likewise, last year, the company reached a turnover of 84,461 million Euros, 22.3% higher than the revenue recorded in 2020. However, EDF’s net financial debt rose to 43,000 million euros.
The electricity company began trading on the Stock Exchange in 2005 and reached a historic maximum price of over 75 euros in November 2007.