"NEC has already informed Bull it accepts a further investment of 990 million yen (nine million dollars) in Bull, but subject to a constructive, forward-looking business plan," the spokesman told AFP.

"That is the condition," he said responding to Bull's announcement last Thursday that its board had adopted a refinancing plan eyeing a 33 million euro (40 million dollars) capital increase, which included the Japanese company.

Other existing shareholders France Telecom, Axa Private Equity, Artemis, Germany's Debeka and 350 Bull managers would also take part in the capital increase according to Bull chief executive chairman Pierre Bonelli.

In addition, the plan forsees a capital increase of nine million euros for holders of certain convertible bonds.

Under the recapitalization plan, Bull's debt to the French state of 450 million euros would also be reduced to 10 percent of its value.

The board had rejected the idea of a friendly takeover by a US company.

SPACE.WIRE