Suez SA has announced of sharing over 1 billion euros ($1.17 billion) with its stakeholders in mid-2021 with subject to an unsolicited acquisition bid from French utility Veolia, on Tuesday.
Both are headquartered in Paris; Veolia had announced its offer to acquire 29.9% in Suez from French gas and utility Engie on August 30, with plans of complete takeover, if successful. Additionally, Veolia is also identified as strengthening its position in north Europe, North America, and Asia.
With Suez management rejecting the offer, chairman Philippe Varin addressed the takeover bid hostile and based on an industrial mirage.
Further, Varin confirmed of Suez board and management looking for other possibilities while declining to give information on the same.
According to Suez group, their performance and strategy was producing substantial results on multiple workstreams with an aim to achieve 900 million euros in annual savings by 2022.
In the wake of the coronavirus-induced pandemic, recycling chains with acute workforce shortage and logistics difficulties- are under significant pressure. The rub was seen in Veolia and Suez’s Q2 financials fell by 10.8% and 12.7% respectively.