PARIS, FRANCE: EDF Group, a French multinational electric utility company largely owned by the French state, announced the launch of a share capital increase with preferential subscription rights to existing shareholders, for a gross amount of more than 3.1 billion euros.

The net proceeds from the Rights Issue will primarily be used to finance the Group’s development operations during the period between 2022 and 2024, in line with the CAP 2030 strategy; to strengthen the Group’s credit rating and its access to financing markets; and more generally, to strengthen the Group’s financial flexibility.

The Rights Issue is part of a broader action plan aimed at strengthening the balance sheet structure.

The Rights Issue will be carried out with shareholders’ preferential subscription rights, in accordance with the 22nd resolution of the combined shareholders’ meeting of 7 May 2020, and will result in the issuance of 498,257,960 new shares.

Each holder of EDF’s shares recorded at the end of the accounting day on 18 March 2022 will receive one (1) Right per share. Rights will be detached on 21 March 2022, and existing shares will therefore trade ex-right from 21 March 2022.

The subscription of the New Shares will be reserved, as a preference, to the holders of the Rights, 13 Rights will entitle holders to subscribe for 2 New Shares on an irreducible basis (à titre irréductible).

Based on the closing price of the EDF share on the regulated market of Euronext in Paris (“Euronext Paris”) on 16 March 2022 (8.864 euros), the theoretical value of the Right, which may fluctuate during the Rights trading period depending on EDF’s ex-right share price, is 0.34 euro, and the theoretical value of the ex-right share is 8.53 euros.

The subscription price for the New Shares has been set at 6.35 euros per share (nominal value of 0.50 euro and issue premium of 5.85 euros). The subscription price represents a discount of 25.5% on the theoretical value of the EDF’s ex-right share and 28.4% on the closing price of EDF’s share on Euronext Paris (8.864 euros) on 16 March 2022.

The Rights Issue will be open to the public in France only.

EDF group is an integrated energy company, active in all businesses: generation, transmission, distribution, energy trading, energy sales and energy services. EDF Group is a world leader in low-carbon energy, having developed a diverse production mix based mainly on nuclear and renewable energies (including hydropower). It is also investing in new technologies to support energy transition.

EDF is listed on the Paris Stock Exchange. www.edf.fr