British Energy has announced that it is in discussions regarding its future. Image shows British Energy’s Dungeoness Power Station (credit British Energy Plc).

British Energy has confirmed that it is in talks regarding its future, following recent speculation about a possible transaction involving the company.

The UK’s largest electricity producer has announced that it is in discussions with “interested parties in the context of its future and its plans to take a pivotal role in any new nuclear programme.” The company has stated that these discussions “could lead to a business combination or an offer for the company”.

The company, which owns eight nuclear power stations and one coal-fired station, witnessed its shares rise sharply following the announcement.

Employing more than 6,000 people and producing one-sixth of the nation’s electricity, British Gas has stressed that there is “no certainty” as to whether any offer will be made.