Renationalisation of EDF at 12 euros per share, the right price?

The right price, really? 12 euros per share to withdraw EDF from the stock market, obviously the offer is in line with analysts’ expectations. The first answer is that of the markets and investors do not seem surprised. Since July, for example, the EDF share has been trading in Paris slightly below at 11.80 euros or even 11.90. It should be remembered that for the State, which already holds 84% ​​of EDF’s capital, it is a question of buying back the remaining 16% of the capital from private shareholders. Transaction valued at 9.7 billion euros.

Some protest against the amount of the operation. This is particularly the case for small shareholders represented by Colette Neuville, who chairs theAssociation of Minority Shareholders (Adam). Ditto for employees and former employees. They argue that this price is well below that of EDF’s IPO in 2005. Some five million individuals (including more than 100,000 employees of the electrician) then bought the action for 32 euros. Adam asks at least a black operation with a resale of securities at the introductory price, less the dividends received for 17 years, ie 16 euros instead of the 12 offered by the State today.

EDF has appointed an expert independent of the company. It has a minimum of 20 days to decide, after which the Autorité des Marchés Financiers must approve the operation. Unless appealed, the AMF’s decision is expected at the beginning of next month for an opening of the offer on November 10 and a closing scheduled for December 8.

This renationalisation of EDF has more than symbolic significance for the State shareholder which plans to build six new generation EPR nuclear reactors with an option for eight others. In the current context of the energy crisis, the operation aims to send a signal and allow the group to hold on despite a debt that will reach 60 billion euros by the end of the year.