By Inti Landauro 

PARIS--The French government has asked utility Électricité de France SA and beleaguered nuclear engineering firm Areva SA to make proposals for a tie-up to help rescue Areva from years of losses.

EDF and Areva, which are both state controlled, must make efforts to cooperate better over the construction of nuclear reactors and international business, French Economy Minister Emmanuel Macron said Thursday. He said he asked both companies to make proposals in the coming weeks.

"There are industrial and financial plans, but not for the whole of Areva, just the nuclear reactor part," Mr. Macron said on French television channel BFMTV.

Areva is working on a plan to sell assets, cut costs, reduce capital expenditure and start talks with unions over possible job cuts after posting a EUR4.8 billion ($5.4 billion) net loss in 2014, the company's fourth consecutive annual loss.

The company faces major hurdles with its contract to build a reactor in Finland, which has cost it billions of euros so far, a bad acquisition of a uranium mine, and a slowdown in the nuclear industry after the Fukushima disaster in 2011.

Mr. Macron recently said in an interview with Le Figaro that the partnership between Areva and EDF should be strengthened, possibly "going as far as a tie-up of capital."

Separately, Mr. Macron said he isn't opposed to the sale of a controlling stake in French video-streaming company Dailymotion to Hong Kong-based PCCW Ltd., but said he wants to be sure Orange SA, which controls the website, has looked at all potential buyers in Europe first.

Write to Inti Landauro at inti.landauro@wsj.com

Access Investor Kit for Orange SA

Visit http://www.companyspotlight.com/partner?cp_code=P479&isin=FR0000133308

Access Investor Kit for Électricité de France SA

Visit http://www.companyspotlight.com/partner?cp_code=P479&isin=FR0010242511

Access Investor Kit for Areva SA

Visit http://www.companyspotlight.com/partner?cp_code=P479&isin=FR0011027143

Access Investor Kit for PCCW Ltd.

Visit http://www.companyspotlight.com/partner?cp_code=P479&isin=HK0008011667

Access Investor Kit for Areva SA

Visit http://www.companyspotlight.com/partner?cp_code=P479&isin=US04012G1022

Access Investor Kit for Orange SA

Visit http://www.companyspotlight.com/partner?cp_code=P479&isin=US6840601065

Access Investor Kit for PCCW Ltd.

Visit http://www.companyspotlight.com/partner?cp_code=P479&isin=US70454G2075

Subscribe to WSJ: http://online.wsj.com?mod=djnwires

PCCW (PK) (USOTC:PCCWY)
Historical Stock Chart
From Nov 2024 to Dec 2024 Click Here for more PCCW (PK) Charts.
PCCW (PK) (USOTC:PCCWY)
Historical Stock Chart
From Dec 2023 to Dec 2024 Click Here for more PCCW (PK) Charts.