Government raises billions through BE sale
Published on : 01/06/2007
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The Department of Trade Industry (DTI) has announced that it has raised approximately £2.08 billion through selling its stake in British Energy.
Around 400 million shares were sold for a price of 520 pence each - meaning the government's stake in the company fell from 64 per cent to 39 per cent. The money earned from the sale will all go towards the decommissioning of nuclear power plants and the building of a new generation of nuclear power stations.
Shares in the company rose by 2.4 per cent to 538 pence on the London Stock Exchange.
"The net proceeds from the sale will go to the NLF (Nuclear Liabilities Fund), helping to ensure that it is better placed to meet its obligations in relation to the eventual decommissioning costs of British Energy's existing nuclear power stations," the DTI said.
"This meets the government's intention, set out last year, to diversify the assets of the NLF."
