17 Mar 2012

France's nuclear giant Areva sells stake in Eramet mining for 1 billion US dollars

10:37 am on 17 March 2012

The French nuclear energy giant Areva says it has signed a deal to sell its 26 percent stake in the Eramet mining company, a major player in a massive nickel plant in New Caledonia, to France's strategic investment fund FSI for 1-billion US dollars.

Areva began exclusive talks with the FSI in December to dispose of the stake after having announced plans to sell more than 1.2 billion in assets as part of a major restructuring and cost-cutting drive.

Areva chief executive, Luc Oursel, says the closing of this disposal will thus contribute to the funding of the Group's strategic and safety-related investment programme.

The French state views the Eramet stake as strategic due to the company's strong presence in New Caledonia.