Gaz de France (GdF) in a joint venture with the UK’s Centrica is set to take over Belgian utility Société de Production d’Electricité (SPE) in a cash and shares deal.
The Belgian GdF and Centrica venture Segebel will take control of a majority 51% stake in SPE which has a market value of around €760 million.
Under the terms of the deal, Centrica will merge its Luminus venture with the SPE group while GdF will merge its ALG Négoce unit into the gas utility. Centrica will spend about €144 million in cash on top of its asset injection.
SPE is Belgium’s number two generator and is expected to have some 1.4 million customers with a retail market share of 20% by 2007 as a result of the enlargement.
The remaining share equity in SPE will be held by existing shareholders including Publilum and ALG.
