Exclusive: Toshiba considers liquidating UK nuke unit NuGen as sale talks drag

Toshiba Corp (6502.T) is considering liquidating its British nuclear unit NuGen, two people with direct knowledge of the matter said on Thursday, leaving Britain to seek alternatives for a project that was meant to provide 7 percent of the country’s electricity.

The move comes as Toshiba believes talks to sell the unit have dragged on too long, the sources told Reuters.

“Toshiba is eager to shut off potential risks associated with NuGen soon,” one of them said. Both sources declined to be identified as the talks are private.

Britain needs to invest in new capacity to replace aging coal and nuclear reactors that are due to close in the 2020s, but large new plants, especially nuclear have struggled to get off the ground due to high costs and weak electricity prices.

Source: Reuters