Kuwait sells 4.8% stake in French energy firm
The transaction, worth $97.7m, sees Kuwait's sovereign fund selling its stake in nuclear power and renewable energy company, Areva, to the French government
Kuwait Investment Authority (KIA), the country's sovereign fund, has sold its 4.8% stake in energy company, Areva, to the French government.
The deal is worth $97.7m (KWD29.5m), it was revealed.
CNBC, citing a Reuters report, stated that "Areva had fought hard to win" a contract to work on the UAE's upcoming Barakah Nuclear Power Plant, which it "lost out to South Korea's Kepco".
According to state agency KUNA, KIA posted $149bn (KWD45.2bn) in net profit, "despite losses", for the period between the 2010-2011 and 2016-2017 financial years, during which it had invested in the French company.
KUNA's report alternately refers to KIA as Kuwait's Public Investment Authority (PIA).
KIA attributed its losses in Avera, which specialises in nuclear power and renewable energy, to the nuclear reactor accident at Japan's Fukushima in 2011.
KUNA reported that KIA "started investing" in Avera on 28 December, 2010, by purchasing 4.8% of the company's $706.5m capital.
The report continued: "The authority sought to withdraw from the company [in] 2014."
Citing a KIA statement, KUNA added that the authority could not sell its stake through the bourse, since "trading on Areva stocks was quite limited".