France, Levallois-Perret: General Electric announced it will extend its $ 16.9 billion bid for the Alstom power business until the 23rd June at the request of the French government.
According to GE, the extension was agreed upon to facilitate discussions with the government. The French government encouraged Siemens as a potential rival bidder so GE encountered resistance.
"We view this extension positively." GE said in a statement, while French Industry Minister, Arnaud Montebourg, welcomed GE's decision to extend the deadline. He said it was in all parties' interests to find a solution before June 23, reports Reuters. Alstom also confirmed it welcomed the extension.
According to GE Chief Executive, Jeff Immelt, the company is going to "work constructively" with the French government on its bid and he expects the deal to close. "We wouldn't have started if we didn't think we could finish." said Immelt.
The Minister Montebourg said the government was considering an all-French solution for Alstom, possibly involving public funds. He said: "Plan A is GE, plan B is Siemens, plan C is a home-based solution."