Veolia Replaces EDF CEO Proglio on Board 2 Months After Lawsuit

Veolia Environnement SA (VIE) will replace Electricite de France SA Chief Executive Officer Henri Proglio on its board of directors with Marion Guillou less than two months after the companies became embroiled in a lawsuit.

The appointment of Guillou, French National Institute for Agricultural Research president from 2004 to 2012 and chairman of engineering school Ecole Polytechnique, will be submitted for approval to shareholders in May, Veolia said in a statement.

Proglio, after spending most of his career at Veolia, quit as a director of the biggest water utility in October following his decision in 2009 to leave as CEO and take the post at EDF. The power operator, with 4 percent of Veolia, is suing the water company over ownership of their Dalkia energy-services unit.

Before taking the helm at EDF, Proglio told members of the French Senate the utility and Veolia would work together beyond Dalkia and may develop synergies in energy and foreign markets.

He stayed as Veolia chairman to December 2010, which was criticized by lawmakers as a conflict of interest. The naming of Guillou to the board by CEO Antoine Frerot follows the chief’s success in a struggle over plans to cut debt and sell assets.

To contact the reporter on this story: Tara Patel in Paris at tpatel2@bloomberg.net

To contact the editor responsible for this story: Will Kennedy at wkennedy3@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.