Suez and Veolia agree to merge

On Monday, the two companies signed a merger deal worth nearly 13 billion euros ($15.44 billion) after months of wrangling between the two French waste and water management companies. In Courbevoie, which is near the capital Paris, Suez’ logo is a prominent facade at its office building at La Defense. Bitter rivals since the 19th century, they have now agreed to fight off Chinese competition.

Photo credit: Reuters/Gonzalo Fuentes

The ‘smaller’ Suez was pursued by the ‘larger’ Veolia and together they are seen to face-off new rivals in China. Suez is now valued at $24.4 per share from its former price of $18 per share. CEO and Chairman Antoine Frerot has said that “the time for confrontation is over” and both companies have witnessed an increase in share prices, the former climbing 7.8% and the latter 9% by the early afternoon. Frerot also mentioned that this was a historical event since it would allow them to build up ecological capacity and innovation.

The new Suez entity will showcase a complete change of environment and prove to be a “global champion in ecological transformation” by highlighting the need for mixed teams in both offices and headquarters, incorporation of their

Source: Reuters