France approves GE-Alstom deal
Alstom plans to submit plan to shareholders for vote December 19.
PARIS
French Economy Minister Emmanuel Macron has approved the multibillion-dollar General Electric-Alstom deal that was signed in June, his office announced Wednesday.
"Emmanuel Macron ... today gave his authorization to General Electric for the realization of its investment project in France with Alstom and the creation of an industrial alliance between the two groups in the energy sector," the ministry statement said.
The deal, worth €12.4 billion ($15.6 billion), was reached last June. It consists of selling some of energy assets of the partly state-owned French energy firm Alstom to General Electric.
Alstom plans to submit the plan to shareholders for a vote Dec. 19.
Once the deal is completed, the French government will take a stake of up to 20 percent in the French engineering group Alstom from its main shareholder, the French family-controlled conglomerate Bouygues SA.
Alstom's market value was about €8.3 billion ($11.5 billion) and has investments worldwide. In the years 2012–2013, Alstom had annual sales of €20.3 billion, and employed approximately 93,000 people in about 100 countries, according to the company website.
In 2004, the French government increased its share in Alstom to 21 percent to help the company, which was then in a difficult financial position.
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