A minority stake in a new £ 20bn nuclear power station on the east coast of England will be sold to institutional investors or sold on the stock market under plans by the British government to drive China’s CGN out of the project. The government concludes an agreement that will force state-owned CGN to give up its 20% stake in the proposed Sizewell C nuclear plant in Suffolk. According to the plans, the government would hold the stake until it could be sold to institutional investors, according to people informed of the situation. Another option to drive the stock on the stock market is also being explored, these people said. The Financial Times reported in July that British ministers were investigating ways remove CGN of future nuclear projects in the UK, including the Sizewell plant, following a cooling of relations between London and Beijing. CGN’s involvement in Britain’s civilian nuclear program has been intensely scrutinized since the government banned Chinese telecommunications equipment maker Huawei from its 5G mobile network last year. The change of mood at the top of the government means that ministers are now expected to block CGN’s plans to build a nuclear power station at Bradwell in Essex.
FT 29th Sept 2021 read more »
Ministers are closing in on a deal that could oust China’s CGN from a new £20bn nuclear power station on the UK’s east cost, by selling its minority stake to institutional investors or floating it on the stock market. Under the proposed plans, China’s state-owned CGN would be removed from the project after relieving its 20 per cent stake in the proposed Sizewell C 3.2 gigawatt nuclear plant in Suffolk. Its stake would then be held by the UK government alongside French state-backed EDF, until it can be sold on to institutional investors, the FT reported, and ministers are also exploring the option to to float it on the stock market through an IPO.
City AM 29th Sept 2021 read more »