Rolls-Royce in talks with Siemens over sale of gas turbine business

Le Figaro reported on Tuesday night that Alstom’s board has accepted GE’s bid, which is believed to be $13bn.

President Francois Hollande has said he has no preference on the bidder but wants “what is best for jobs”, although outspoken industry minister Arnaud Montebourg has backed an alternative Siemens offer which could create a “European champion”.

Siemens is understood to be much further away than GE in its ability to make a bid and said in a statement that “suitable due diligience” is a prerequisite of any offer.

Siemens said Alstom must agree to give it “access to the company’s data room and permission to interview the management during a period of four weeks, to enable Siemens to carry out a suitable due diligence”.

France’s Socialist government has already intervened in discussions to put the brakes on a sale of Alstom to the American suitor and give sufficient time for Siemens to be in a position to make a bid.

Mr Montebourg, who previously told Indian industrial tycoon Lakshi Mittal he was “not welcome in France”, has said “the government does indeed intend to defend our country’s interests”.

GE is understood to have carried out its own due diligence and presented an offer of $13bn (£7.7bn) to Alstom’s management.

However, a deal engineered by Siemens and Parisian politicians could see Alstom offering Siemens its power assets in exchange for half of the German’s train-making business. Alstom is the maker of high-speed train TGV, considered a jewel of French industry.

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