General Electric Plans to Step Up Promise to Protect French Jobs
NEW YORK (TheStreet) -- General Electric is said to be readying an improved offer for Alstom that will reinforce its commitments to protecting French jobs, according to a report by the Financial Times.
This came after Siemens and Mitsubishi Heavy Industries launched a $9.5 billion joint bid for Alstom's energy business on Monday. The two companies have been competing for the support of the French government, which is seeking to preserve French jobs and a national industrial icon.
GE has already said it will not improve the financial terms of its offer but it has said it's willing to negotiate with the French government. GE reportedly plans to reinforce its commitments to protecting French jobs by offering to increase French investments in the company if the deal is approved. GE Vice Chairman John Rice has said the company is confident that its bid, which Alstom has already accepted, will be successful.
The company faces a 1.5% breakup fee if Alstom accepts an alternate deal. GE has agreed to extend the deadline for consideration of its bid until June 23.
In New York, I'm Brittany Umar reporting for TheStreet.
-- Written by Brittany Umar in New York.