GDF Suez mulls International Power tie-up

PARIS: GDF Suez SA is considering a tie-up with International Power Plc that may lead to a partnership with the biggest UK-based electricity producer, two people familiar with the plan said.

Any deal between the two may not necessarily lead to GDF Suez taking control of the UK company, although no final decision has been made, the people said, declining to be identified because the talks are private.

GDF Suez, operator of Europe's largest natural-gas network, is seeking to increase its international gas business and also grow in nuclear generation. International Power, with a market value of $8 billion, has expanded operations in Asia and Australia as the global recession has eroded energy demand in the US and UK.