French government to sell 50% stake in FDJ
The state has highlighted the privatisation of its national lottery operator as a key source of revenue for President Emmanuel Macron’s finance innovation fund
The French government is preparing to cash-in on national lottery operator Francaise des Jeux (FDJ) by selling a 50% stake in the company through a stock market listing.
French legislators recently announced plans to sell €12.2bn worth of stakes in state-owned companies to fund finance innovation, an election pledge of President Emmanuel Macron.
The government owns 72% of FDJ, one of the first state-owned businesses highlighted for sale as the lottery company accounts for annual revenues of more than €3bn.
The government will present a privatisation plan on 16 May that includes airport operator Aeroports de Paris and former gas monopoly Engie SA, alongside FDJ, according to Le Journal du Dimanche.
Macron’s representatives have reportedly enlisted the help of investment bank BNP Pairbas and law firm Weil, Gotshal & Manges to pave the way for the proposed stock market listing of FDJ shares.
The shares will be sold no later than 2019, with the government set to retain a stake of approximately 25% in the lottery operator, the second biggest in Europe after Italy’s Lottomatica.
Le Journal du Dimanche reported that a private investor hailing from the betting and gaming or media sector could take the remaining slice of the capital.
FDJ declined to comment on the story.