PARIS: Shares in French energy giant EDF plunged more than 5 percent on Monday after the state said it would lead a four-billion-euro capital increase as the company tries to tackle a huge debt pile.
France, which owns 85 percent of EDF, announced the move late Friday, while the power company pledged to cut millions more in costs and sell off assets.
EDF chairman Jean-Bernard Levy said Monday that there would be no additional job cuts at the power company beyond the 3,350 posts which EDF has already announced are set to go by 2018.
When trading opened on the Paris stock market Monday, EDF shares fell 7.1 percent to 11.37 euros, later rising slightly to 11.6 euros —a fall of 5.5 percent.
The power company’s debt woes have weighed on its project to build a controversial 23-billion-euro ($26 billion) nuclear power plant at Hinkley Point in southwest England. AFP