Two of China’s largest nuclear-power firms will merge, according to Caixin Global, creating a state-backed powerhouse with combined assets of more than $600 billion yuan ($95.4 billion).
The merger of China National Nuclear Corp. and China Nuclear Engineering & Construction was approved by the country’s state-asset regulator on Wednesday. The central government is hoping that consolidation of state-owned enterprises will reduce overcapacity and improve efficiency in the sector. There currently exists 97 such enterprises, down from 117 in 2012.
The merger comes as part of a wider push by the Chinese government to advance its position as a global leader in renewable energy.