BAE - EADs mega merger on the rocks

06 Oct 2012

1

Fears are mounting that the planned multi-nation merger between BAE Systems and EADS is in jeopardy due to differing demands of governments involved.

According to Germany's Der Spiegel magazine, which cited government sources, the £38-billion deal was heading for collapse as French and British politicians remained in  disagreement.

The magazine said that Britain, home to BAE Systems, was averse to any one country owning more than 10 per cent of the merged defence and aerospace company.

It added that France insisted it should hold more than 10 per cent even as it retained the option to increase its shareholding later on.

Germany, France and Britain would need to agree on their respective holdings in the combined entity if the deal were to go ahead.

An EADs spokesman denying the report said the company had  been informed by the governments about the status of the discussions but in no way had they been told that the deal was off.He added, the company continued to work towards the 10 October deadline that it had been given by the UK government.

Business History Videos

History of hovercraft Part 3 | Industry study | Business History

History of hovercraft Part 3...

Today I shall talk a bit more about the military plans for ...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of hovercraft Part 2 | Industry study | Business History

History of hovercraft Part 2...

In this episode of our history of hovercraft, we shall exam...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of Hovercraft Part 1 | Industry study | Business History

History of Hovercraft Part 1...

If you’ve been a James Bond movie fan, you may recall seein...

By Kiron Kasbekar | Presenter: Kiron Kasbekar

History of Trams in India | Industry study | Business History

History of Trams in India | ...

The video I am presenting to you is based on a script writt...

By Aniket Gupta | Presenter: Sheetal Gaikwad

view more
View details about the software product Informachine News Trackers