Electricite de France SA (1024251.FR) is preparing to offer a premium of 5-10% for Gaz de France SA's (1020848.FR) 25.5% stake in Belgian utility SPE, U.K. newspaper The Times reported Thursday, citing unnamed sources in Paris.
The premium may be aimed at knocking U.K. utility Centrica PLC (CNA.LN) out of the contest for GdF's stake, the paper said. Centrica also holds 25.5% of SPE and has pre-emption rights to buy the stake, which it has said it will exercise, although it would have to match the highest bid.
GDF bought the stake for EUR247 million in 2005. It has been told to sell it as a condition of its merger with Suez (SZE.FR).