Constellation, EDF nuclear deal to close Nov. 3

A deal to transfer Constellation Energy Group's stake in a nuclear development company to its French partner is scheduled to close Nov. 3, according to documents filed Thursday with the Securities and Exchange Commission.

On Tuesday, Constellation agreed to sell its 50 percent stake in Unistar Nuclear Energy to EDF Group for $140 million, giving EDF sole ownership of the joint venture and its plans to develop the third unit at Calvert Cliffs in Southern Maryland.

The deal revived hopes for the project's future, which was thrown into doubt when Constellation withdrew this month from negotiations with Obama administration officials over a federal loan guarantee deemed crucial to build the $9.6 billion reactor.

The deal also calls for EDF to transfer 3.5 million shares it owns, valued around $110 million, to Constellation and give up its seat on the Constellation board. Samuel Minzberg, who was elected last week as EDF's board designee, will resign.

And Constellation agreed not to force EDF to buy several of its non-nuclear power plants the French company did not want for up to $2 billion.

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