Thailand’s energy regulator has blocked Engie’s multibillion-euro sale of Glow, an independent power producer listed in Thailand.

The deal, first announced this summer, would have involved the sale of a 69.1 per cent stake in Glow, worth up to €2.6bn, to Thailand’s Global Power Synergy, a unit of state-backed energy giant PTT.

But on Thursday, GPS said in a statement that “the Energy Regulatory Commission . . . resolved to disapprove the application.”

“The acquisition would have led to a monopoly in some industrial areas and therefore it is considered to reduce competition,” the Energy Regulatory Commission of Thailand said in a statement, according to Reuters.

The sale had been part of Engie’s ongoing deleveraging drive. The French power company is in the final year of a three-year plan to transform the company, which has seen it cut costs and reduce its exposure to carbon-intensive industries and markets most exposed to fluctuating prices.

On Thursday, Engie said it was analysing the situation and had “other options for the sale of our shares in Glow.”

Engie’s “deleveraging dynamics remain very advanced,” added the group.

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