Veolia has acquired Suez shares representing 29.9 percent of the capital of Suez from Engie, at a price of 18 euros per share (dividend included). The company intends, following the acquisition of the 29.9 percent block of Suez shares, to take control of Suez. To this end, it announced the intention to file a voluntary takeover bid for the remaining Suez shares. This public offer will be in cash, without cap, Veolia reserving the possibility of adding to the part offered in cash a capped part in its shares.

“I am very happy to lay the foundation stone in France today for a world super champion of the ecological transformation. This is a wonderful opportunity for the employees, customers and shareholders of both groups, and it is a project which serves France and the planet,” said Veolia CEO Antoine Frérot.

In accordance with the commitments made, Veolia confirmed its intention to file a voluntary public takeover bid on the remaining Suez share capital in order to complete the merger of the two companies. At the same time, the company said that this offer will not be launched without first having obtained a favourable opinion from the board of directors of Suez.

The filing of the public offer will take place at the latest when the necessary regulatory authorisations are obtained, in particular in competition matters, within 12 to 18 months. However, the public offering will take place once the project has been favourably received by Suez’s board of directors, possibly after the general meeting of its shareholders, according to the press release.

The price of the public offer will be that paid to Engie, i.e. 18 euros per share, said the company, also formally confirming its commitment that the merger operation will not have a negative impact on employment in France. As reported on August 30, 2020, Veolia said it has identified the targeted competition issues that the merger with Suez would involve and has anticipated remedies. In the context of the remedies identified, the company proposed Meridiam as a buyer capable of preserving competition and employment for the activities of Suez Eau France. Meridiam has formally committed to this acquisition by submitting an offer to Veolia, relating to the management and operation of drinking water and sanitation services carried out in France as well as the R&D activities related to water and those of the design/construction of water treatment facilities in France (Degrémont France).