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EDF to offer a revised deal to British Energy
11/09/2008

French power company, EDF, is planning to sell some nuclear sites to rival firms as part of its £12bn deal to take over British Energy.

It is understood that EDF may offer a stake in BE to Centrica as part of the takeover. The concessions may help EDF ensure the deal satisfies European Union competition regulators after an initial inquiry.

EDF is to build four nuclear plants on British Energy-owned land. However, other operators will have to build new atomic capacity so that the UK's nuclear industry does not become a French-owned monopoly.

It is expected that EDF will offer BE a sweetened deal by the end of the month. This will be the second offer since August. British Energy rejected the previous offer after requesting a higher bid.

The British government, which owns a stake in BE, is eager to have French involvement. The government wants BE and its shareholders to accept EDF's offer in order to push ahead with plans for a new generation of nuclear power stations.

EDF Group is amongst Europe's largest energy groups. The company generates around 6% of the UK's electricity. BE produces around 17% of the UK's electricity.

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