France buys 20% of Alstom, gets decision-making role

The French government has bought 20% of Alstom stakes so that it can be on the board of directors and have a decision-making power in the company’s negotiating process with the US conglomerate, General Electric.

The government has long been interested in supervising Alstom’s auction conditions since it is supporting and defending the country’s interests.

‘Bouygues has allowed to lend Alstom’s stock to us so that we can immediately have a role in the company. We can have 20% of the shares and be on the board of directors,’ explained France’s Economy Minister, Arnaud Montebourg.

GE made a bid on Friday, offering 12.35 billion euros for Alstom’s power grid business, renewable operations and nuclear steam turbines. In addition, it also promised to create 1,000 jobs for French workers.