PARIS-- General Electric Co. Chief Executive Jeffrey Immelt will
personally lobby for the U.S. conglomerate's proposed $17 billion
acquisition of Alstom SA's energy assets on Thursday when he meets
with the self-proclaimed chief custodian of France's strategic
industrial interests, Economy Minister Arnaud Montebourg, according
to people familiar with the matter.
Mr. Immelt is expected to use the opportunity to provide details
on how GE intends to respond to concerns voiced by the French
government after the U.S. company unveiled its initial offer in
late April, the people familiar with the matter said.
GE confirmed Mr. Immelt will attend on Thursday.
To improve the appeal of its bid and counter German and Japanese
suitors, GE is considering selling its train-signaling business to
Alstom, according to different people familiar with the matter.
Selling the signaling operations would help meet a demand expressed
by France's President François Hollande that the U.S. conglomerate
help beef up Alstom's train business in exchange for blessing GE's
purchase of the French engineering company.
GE is expected to make additional concessions and give the
French government a say on the fate of some Alstom products deemed
strategic, such as the oversize steam turbine used in nuclear power
plants, the people familiar with the matter said.
GE is locked in a takeover battle with Siemens AG of Germany and
Mitsubishi Heavy Industries Ltd. of Japan to grab a large part of
Alstom's assets.
The U.S. company fired the opening shot in late April, offering
to buy all of Alstom's energy assets, including gas and steam
turbines, windmills and hydropower equipment.
It triggered political furor in France, where the government
said it wanted to have a say in the fate of the industrial giant
and invited interests from rivals such as Siemens.
On Monday, Siemens and MHI presented a multipronged offer for
some of Alstom's assets.
Under the joint bid, which the two companies said valued
Alstom's power business at EUR14.2 billion ($19.24 billion),
Siemens would buy the French company's gas turbines business while
Mitsubishi would acquire minority stakes in a range of other Alstom
operations.
In addition, MHI has offered to acquire a minority stake in
Alstom and said it "strongly" wished that the French government
would also buy an interest in the company, alongside
Mitsubishi.
A French official said such an investment was "possible," adding
that the government viewed the joint offer of Siemens and
Mitsubishi as "serious."
Ted Mann contributed to this article.
Write to Inti Landauro at inti.landauro@wsj.com
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