Areva sells stake in Eramet for 776 mn euros

French nuclear energy giant Areva said Friday it had signed a deal to sell its 26 percent stake in the Eramet mining company to France's strategic investment fund FSI for 776 million euros ($1.0 billion).

Areva began exclusive talks with the FSI in December to dispose of the stake after having announced plans to sell more than 1.2 billion euros in assets as part of a major restructuring and cost-cutting drive.

"The closing of this disposal will thus contribute to the funding of the Group's strategic and safety-related investment programme," Areva chief executive Luc Oursel said in a statement.

The French state views the Eramet stake as strategic due to company's strong presence in the French Pacific island group of New Caledonia.