GDF Suez to sell stakes in European wind, solar energy worth $782 mn: report

GDF Suez is planning to sell stakes in its European wind and solar energy units, a deal that may fetch the French utility at least €600 million ($782 million), The Wall Street Journal yesterday reported, citing people with direct knowledge of the matter.

GDF Suez, 36.7 per cent owned by the French government, will sell around 60 per cent of some of its wind and solar-energy businesses in France and some other countries, the report said.

The French utility will retain the remaining 40 per cent interest in around 1,000 MW of production capacity and remain the operator of the businesses valued at an estimated €1 billion, the report added.

GDF Suez, Europe's biggest utility company by market value, which holds debts of around 34 billion, had last year said that it would sell or deconsolidate assets worth more than €11 billion in Europe and other developed markets.

In December, it sold 80 per cent in its Italian wind-energy subsidiary, IP Maestrale for $1.12 billion, and reduced its debt by €800 million. (See: Italy's ERG SpA to buy Italian, German wind power assets of GDF Suez for $1.12 bn)

Formed through the 2008 merger of Gaz de France and Suez, GDF Suez is the world's second-largest power utility company.

It is also the largest gas supplier in Europe and amongst the world's biggest electricity producers.

It generates electricity from wind, biomass and bio gas, hydro, natural gas, coal, nuclear, and other non-renewable sources, and involves in energy procurement and trading business.

It has a market cap of €35.9 billion and annual revenues of €97 billion ($125.8 billion).