Sponsored By

France prepared to nationalize STX if Italy doesn't accept reduced stakeFrance prepared to nationalize STX if Italy doesn't accept reduced stake

French Economy Minister Bruno Le Maire on Wednesday said the state is prepared to exercise its pre-emptive right to nationalize STX France if Italy doesn't accept its offer of a 50-50 share of the Saint-Nazaire shipyard.

Michèle Valandina, French correspondent

July 27, 2017

1 Min Read
Credit: Seatrade Cruise News

The initial deal had Italy‘s Fincantieri getting a 66.6% share in the yard following the collapse of South Korean parent STX. France kept its 33.3% and its veto right. Subsequently Fincantieri agreed to reduce its stake to 48% by selling shares to an Italian investment consortium, Fondazione CR Trieste. French state-controlled naval shipbuilder DCNS would take a 12% stake.

At MSC Meraviglia’s delivery in June, newly inaugurated French President Emmanuel Macron called for a revision of the terms of the STX France agreement, approved in April by the former government.

This led to the new proposal which Rome doesn't appear ready to accept, according to an Italian ministry source cited by the AFP French Press Agency.

'If our Italian friends tell us that they don’t agree with our offer, using our pre-emptive rights will give us time to renegotiate a new shareholder agreement in very serene conditions,' Le Maire said Wednesday on FranceInfo radio. An STX takeover by the French state would involve a limited investment of 'tens of millions of euros' on a 'temporary' basis.

According to the Economy Ministry, the French shareholders in this new arrangement would include Naval Group (ex-DCNS), the French state (through BpiFrance) and the STX employees.

An official announcement is expected Thursday.    

See update: 'France nationalizes STX yard, buying time to renegotiate sale'

Read more about:

government

About the Author

Michèle Valandina

French correspondent

A graduate from Lyon University, where she specialised in foreign languages and American literature, Michèle worked as an interpreter/translator (English, German and Italian) for major international events before entering the diplomatic world for a few years. As a Paris-based freelance travel and lifestyle writer, she has been a contributor to a host of publications and has long specialised in two sectors: cruising and wellness. Her features have appeared in, among others, Le Monde, Le Figaro, Le Figaro Magazine, Les Echos Week-end and periodicals dedicated to the MICE sector. She has also featured on radio and TV travel programmes and, since 1992, has been the author of the only French cruise guide, Croisières Passion.

 

The latest cruise news, analysis and more straight to your inbox
Get the free newsletter read by industry experts

You May Also Like