London float for French power shares

THE clock is ticking on what is likely to be Europe's largest 2005 flotation after Electricite de France, the power group that keeps the lights burning in London and commands a quarter of UK distribution, said it would be ready to sell shares to the public in October.

Londoners, who have faced rising power bills, will have a chance to take a stake in the French State utility which today revealed that net profits soared 56% to €1.34bn (£993m).

Profits from its UK businesses rose 3.38% to €306m, but underlying earnings here rose 14.6% to €1.29bn on sales ahead 14.2% at €5.96bn.

The firm, which under its EDF Energy unit owns London Electricity, Eastern Electricity, Seeboard, SWEB and a slew of power stations, is expected to be valued at €60bn when it sells up to a third of the company this autumn.

During 2004, group sales by EDF, which accounts for a fifth of Europe's electricity production, rose 4.5% to €46.9bn. The group has €19.7bn of debt.

The French government aims to sell shares equal to 30% of the enlarged equity and the group wants to raise at least €9bn.