Engie to decide on status quo regarding Suez 32% stake
France-based energy group Engie [EPA:ENGI] is expected to maintain the status quo regarding its 32% shareholding in listed French water utility Suez [EPA:SEV], French daily Les Echos reported. The report cited a person familiar with the matter as saying that the board of Engie is meeting today, Tuesday, and would officially decide on not selling the shares nor launching a takeover offer. The report noted that the stake is currently worth about EUR 2.5bn.
According to the report, synergies can be developed between the two groups, such as in the water desalination or in the “green” gas sectors. The report added that the management of Engie, which does not believe in the benefits of a merger with Suez, could however try to have a say in the appointment of a new chairman and chief executive for Suez. The report noted that Engie has four seats on the board of Suez, which counts 19 members.