Article by Adam Duckett
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VEOLIA has agreed a deal to buy its rival Suez, ending a fraught takeover battle that merges the world’s two largest water and wastewater companies.
The French firms have agreed a price of €20.50 (US$24.50) per Suez share, valuing Suez’s equity at around €13bn. Veolia bought a 30% stake in Suez from Engie last year. During the subsequent takeover negotiations Suez maintained that the €18/share that Veolia had paid Engie for its stake undervalued the firm. A bitter takeover battle ensued as the pair traded accusations in public and fought through the courts.