The Minister of Economy, Finance and Recovery, Bruno Le Maire, declared on Tuesday February 15 that“no options (…) don’t d[eva]it be discarded” in the strategy of the State vis-à-vis EDF – including a possible nationalization of the French energy company.
“No option, from the moment we open a new era, should be ruled out. We must look at them all serenely »said the minister on BFM Business radio, in response to a question about the nationalization of EDF. “Not all of them necessarily belong to the same calendar. But all options are on the table”, said the Mayor again. At the beginning of the year, his ministry had rather ruled out such a scenario.
Major issue of EDF refinancing
Almost 84% controlled by the French state, EDF is facing significant financial needs to invest while the group is already heavily indebted – 41 billion euros, according to the count. of June 2021. The value has lost more than 20% since the beginning of the year, after a fall of 19.89% in 2021. A nationalization of the group could cost the State around 5 billion euros and would have as a consequence, the share will be delisted, which is mandatory when a shareholder holds at least 90% of the capital and voting rights.
The challenge of refinancing EDF remains major after Emmanuel Macron’s stated ambitions for the nuclear sector: in the event of re-election, the Head of State – who is not yet an official candidate – has said that he wishes carry out a vast project to renew the French nuclear fleet by building six new next-generation reactors (EPR2), with the possibility of eight additional reactors.