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        Areva plans JV with Macro

        (Shanghai Daily)
        Updated: 2007-02-01 14:48

        France's state-owned nuclear engineering company Areva has signed a preliminary agreement on setting up a joint venture with a unit of Chinese electrical appliance maker Guangdong Macro, the Chinese company said Thursday, according to The Associated Press.

        Details of the deal have yet to be finalized, Guangdong Macro said in a notice published in the newspaper Securities Times.

        It said Areva and Guangdong Macro had signed the deal on January 12.

        The agreement calls for a joint venture between Areva and Sunten Electric Co, a major producer of electrical transformers controlled by Guangdong Macro and based in the southern city of Shunde. Guangdong Macro would have the controlling share of the new joint venture, which would be subject to regulatory approval.

        Calls to Areva's headquarters in Beijing went unanswered today.

        Guangdong Macro, which has shares traded in the southern Chinese city of Shenzhen, is a major manufacturer of gas and electrical appliances, including stoves, water heaters and barbeque grills.

        Sunten Electric Co, makes equipment used in urban electrical networks, such as transformers, prefabricated substations and switchgear and other electrical power equipment, according to the company's Website.

        Although Areva, the world's biggest reactor manufacturer, is better known for its involvement in China's nuclear energy development, the company also makes equipment for China's fast-growing power grid.

        In 2005, the company won two contracts to expand the Ling Ao nuclear power plant in Guangdong, which borders Hong Kong.


        (For more biz stories, please visit Industry Updates)



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