EDF In Expected Deal Buys 75.5% Of New NP

In a long-expected deal, French utility, operator of all of the country's nuclear power plants, signed an agreement on Friday to purchase 75.5 percent of New NP from Areva SA.

EDFThe deal is part of a major overhaul at nuclear power developer Areva, which has lost billions of dollars in recent years, partly due to the industry slowdown following a major accident in Japan in March 2011. In 2014 alone, the Wall Street Journal reported, Areva estimated its net losses for the year at $5.6 billion.

The company has, since, been restructuring without the dramatic step of declaring bankruptcy, but resorting to selling various enterprises in part or whole.

The deal struck on Friday, said MarketWatch, values New NP, Areva's nuclear reactor division, at $2.93 billion.

EDF has to pay an additional $291.4 million if various performance targets are reached.

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