Constellation Energy closes Unistar deal with EDF

Baltimore company no longer in new nuclear business

November 04, 2010|By Hanah Cho, The Baltimore Sun

A deal to transfer Constellation Energy Group's stake in a nuclear development company to its French partner, EDF Group, closed Wednesday, according to documents filed Thursday with the Securities and Exchange Commission.

Last month, Constellation agreed to sell its 50 percent stake in Unistar Nuclear Energy to EDF for $140 million, giving EDF sole ownership of the joint venture and its plans to develop a third unit at Calvert Cliffs in Southern Maryland.

The deal called for EDF to transfer 3.5 million shares it owns, valued around $110 million, to Constellation and give up its seat on the Constellation board. EDF designee Samuel Minzberg has resigned.

In exchange, Constellation agreed not to force EDF to buy several of its non-nuclear power plants the French company did not want for up to $2 billion.

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