In a joint statement on Monday, Electricite de France (EDF) and Veolia Environnement said both companies were nearing a final deal to break off its joint energy services venture Dalkia.

"The transaction would benefit all parties, as it would secure Dalkia's development both in France and internationally, while strengthening EDF and Veolia Environnement's respective ambitions in the energy services. The contemplated transaction would also put an end to the litigation between EDF and Veolia Environnement pending before the Paris commercial court," the joint statement read.

In the agreement, both companies would be splitting the domestic and international assets of Dalkia. Veolia would acquire the foreign business of Dalkia. Veolia would be paying EUR550 million or USD758 million in doing so. On the other hand, EDF would be obtaining the French division of Dalkia.

Dalkia earned EUR4.1 billion in local revenues in 2012. The joint venture earned another EUR4.9 billion offshore. Veolia held a 66% ownership stake in the venture, while EDF had a 34% holding.