Alstom, the French engineering group, has become the latest European company this year to turn to a rights issue to restructure its balance sheet, as it hopes to raise €636m ($588m) in an offer led by BNP Paribas and JP Morgan.

JP Morgan led Alstom's last bond issue in March 2001, while Paribas (prior to its purchase by BNP) led two bond issues for the French company in 1999. Credit Suisse First Boston and Goldman Sachs, who led Alstom's June 1998 initial public offering, are not part of the syndicate managing the rights issue.