Powerful French state financial body the Caisse des Depots is to buy 25.5 percent of Eutelsat, one of the world's top three satellite operators, from the investment fund Eurazeo, the Caisse Des Depots said Thursday in a statement. The Caisse des Depots will pay 862.7 million euros (1.15 billion dollars) to Eurazeo and end up with 26.15 percent of the satellite operator.
Separately, Eurazeo announced it had cancelled the initial public offering of shares in its vehicle hire unit Fraikin on Thursday, saying that it was in exclusive talks to sell its 55-percent stake to another investment fund.
Eurazeo said it expected to sign a deal with CVC Capital Partners for the sale of its Fraikin stake in the coming days, valuing the company at 1.35 billion euros (1.8 billion dollars).
An IPO of 60 percent of Fraikin was expected during December
Eurazeo bought its stake in Fraikin in 2003, with the company valued at 764 million euros at the time of the acquisition.
In satellite operator Eutelsat, CDC will join the Spanish motorway group Abertis, which said on December 5 that it had bought a 32 percent stake of the group for 1.07 billion euros.
Eutelsat chief executive Giuliano Berretta said that the CDC purchase "marks the end of the reorganisation of the capital of our group.
"We will now benefit from an association with two leading European groups in infrastructure who will enable us to pursue and accelerate our development," he added.
Source: Agence France-Presse
