Government pushes ahead with Urenco privatisation

(Source: Getty)

The government has today announced that it intends to push forward with plans to sell all or part of its stake in the uranium enrichment company Urenco. The operation is presently part owned by the British and Dutch governments, E.ON and RWE. Morgan Stanley will be advising on the sale.

In a statement released by the business ministry it was stressed that the decision has been made as part of a wider push to put assets such as the Student Loan Book and Royal Mail into private hands. Responsibility for the government's stake in Urenco was shifted from the Department for Energy and Climate Change to Business, Innovation and Skills in January.

Business and energy minister Michael Fallon told City A.M.:

It would be nice to tell you the model of sale, but we are announcing our intention in principle following the two German shareholders announcing their intentions.

We are certainly not ruling out an IPO but there are a lot of other options.