PARIS -- The French government is weighing a possible sale of part or all of its 14 percent stake in PSA Group, Les Echos reported.
The state shareholdings agency is reviewing all investments as it seeks to fund cash injections for troubled nuclear group Areva and state-owned power giant EDF, the business daily said in a report on its website Tuesday.
The PSA holding is a candidate for sale or part sale because it was acquired recently and is showing a strong gain, the paper reported, quoting an unnamed government official. No decision has been taken, it said.
PSA and finance ministry both declined to comment on the report.
The value of the government's PSA stake has nearly doubled in just over two years since it was bought for 800 million euros ($891 million), as the company teetered close to bankruptcy.
A factor complicating any sale, as Les Echos' report notes, could be the matching 14 percent held by China's Dongfeng Motor Group, which the French stake was designed to balance.
The French government and Dongfeng both took stakes in PSA in 2014 to help provide a cash injection for the automaker, which makes Peugeot, Citroen and DS cars.
CEO Carlos Tavares is planning his next moves for PSA after the company swung to a 1.2 billion euro profit last year under his "Back in the Race" plan after losing more than 8 billion euros from 2012 to 2014.