PARIS: France said Tuesday it would sell a 0.9 percent stake in energy company Engie for up to 372 million euros ($420 million) as part of efforts to pay down its debt.

"The state... has given banks an irrevocable mandate to sell, depending on market conditions, a maximum of 22,028,492 shares" in the company over the next three months, the Economy and Finance Ministry said in a statement.

The ministry said it wanted to sell the shares at the prevailing market price and not at a discount.

The state currently holds 33.24 percent of Engie and even after the sale will remain a key shareholder as under a new French law large, long-term investors hold double-voting rights.

Economy Minister Emmanuel Macron said last October that the France state, which owns stakes in 74 companies worth about 110 billion euros, intended to sell shares worth 5 to 10 billion to pay down the national debt within the following 18 months.

Engie is the new name for energy and gas company GDF Suez, which is the world's number three importer of liquefied natural gas and the top independent electricity producer.