EDF and Constellation Energy have reached an agreement that restructures the companies' partnership, eliminates the outstanding put option and establishes the full ownership of UniStar Nuclear Energy by EDF. The agreement was approved by the boards of directors of both EDF and Constellation.
Under the terms of the agreement, EDF will acquire Constellation's 50% ownership in UniStar for $140m: thus, EDF will be the sole owner of UniStar. In addition to sites for Calvert Cliffs 3 and a potential fourth reactor at Calvert Cliffs, which are both held by UniStar, Constellation will transfer to UniStar potential new nuclear sites at Nine Mile Point and R. E. Ginna in New York State. Constellation will no longer have responsibility for developing or financing a new nuclear plant at Calvert Cliffs 3.
Further to the terms of the agreement, EDF will transfer to Constellation 3.5 million of the shares that it owns in Constellation and will relinquish its seat on the Constellation board. The existing standstill agreement between the companies will be terminated. Constellation will terminate its rights under the existing put option and, as a result, will not sell any of its plants to EDF. The ownership structure of the companies' existing Constellation Energy Nuclear Group partnership remains unchanged with Constellation holding 50.01% ownership and EDF maintaining 49.99% partner status.