How France’s Warring Water Giants Stepped Back From Brink (1)

The rare spectacle of a hostile takeover battle between two of France’s largest companies has come to a sudden end.

After many months of bitter rhetoric, legal tussles, and accusations of bad faith or sabotage, the cooler heads who had been working quietly behind the scenes finally engineered a compromise. Suez SA agreed to be acquired by Veolia Environnement SA at a 13 billion-euro ($15 billion) valuation, creating a global giant in waste and water services.

The deal was unlocked partly by the most obvious means -- Veolia offered a higher price. But getting to the point where money was ...