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Gaz de France Merger with Suez

  • B. Rajesh Kumar
Chapter
Part of the Management for Professionals book series (MANAGPROF)

Abstract

On July 16, 2007, Gaz de France (GDF) was acquired by ENGIE SA in a reverse merger deal. On September 3, 2007, European giant Gaz de France and Suez made the announcement to merge in a €70 billion (£47 billion) deal which created the world’s fourth largest energy company. This merger created Europe’s second largest electricity and gas group. The merger was engineered as a part of a deal to thwart a possible foreign takeover attempt from Enel, the Italian utility firm. As a part of the deal, Suez had to divest 65% of its environment activities. Suez spun off its water and waste businesses which were valued at €20 billion. Gaz de France swapped 21 of its shares for 22 of Suez. The merger between Gaz de France and Suez created a global energy leader with leadership position in natural gas and electricity. The combined firm created a diversified, flexible energy supply stream with high-performance electricity production base.

References

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  2. Gumbel P (2007) How France’s Sarkozy muscled a merger through. http://archive.fortune.com/2007/09/04/magazines/fortune/gumbel_sarkozy.fortune/index.htm. Accessed 28 April 2018
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  5. Reuters (2008) Timeline key dates in Gaz de France Suez Merger. https://www.reuters.com/article/us-suez-gdf/timeline-key-dates-in-gaz-de-france-suez-merger-idUSL1572930220080715. Accessed 28 April 2018
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Copyright information

© Springer Nature Switzerland AG 2019

Authors and Affiliations

  • B. Rajesh Kumar
    • 1
  1. 1.Institute of Management TechnologyDubaiUnited Arab Emirates

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