PARIS (Reuters) - French businessman Jacques Veyrat, who controls a stake of more than 50 percent in renewables energy group Neoen, could sell Neoen to utility Engie in return for a small stake in Engie, BFM Business reported on its website.
The report pushed up Neoen’s shares by 1.5 percent in early session trading, while Engie’s shares fell 2.6 percent. Engie declined to comment on the report while officials at Neoen could not be immediately reached for comment.
Any such deal between Neoen and Engie would likely need the approval of the French government, as the French state holds around 24 percent of Engie’s share capital.
BFM Business added that an entry by Veyrat into Engie’s share capital could be looked on favorably by the French government, since the government had some concerns that an activist fund may look to target Engie.
Reporting by Sudip Kar-Gupta and Benjamin Mallet; Editing by Bate Felix