EDF, Veolia near agreement on Dalkia financing: report

PARIS: French power company EDF and waste and water group Veolia Environnement are close to reaching an agreement to cover the financing of their Dalkia energy services venture, French daily Le Figaro reported on Saturday without citing sources.

The two groups will lend Dalkia 600 million euros ($821 million) in the form of subordinated debt to cover the repayment of a 280 million loan as well as the company's financing needs for 2013.

The newspaper reported that EDF has accepted to contribute to the financing of Dalkia in exchange for the chairmanship of the venture's audit committee.

EDF declined to comment. Veolia was not immediately available to comment.

EDF said in October it was suing Veolia for the right to increase its stake in their Dalkia energy services joint venture to 50 percent.