Connect with us

Tech EU News

Investors unhappy with BAE and EADS merger plan

Published

2 years ago

on



http://www.euronews.com/ EADS, the parent company of Airbus, and Britain’s BAE Systems have confirmed that they have been in talks since June about a merger.

That would create an aerospace and defence giant bigger than US rival Boeing in sales and that would be better able to cope with defence spending cutbacks in Europe and the United States.

However, investors questioned the rationale of a tie-up and EADS’ shares tumbling as much as 11 percent on Thursday, adding to the previous day’s fall and erasing more than half of the company’s gains made this year.

EADS stock, which earlier this week was up nearly 30 percent since the beginning of the year, has plummeted as much as 16 percent since the merger talks were unveiled on Wednesday, wiping about 3.8 billion euros off its market value.

Shares in BAE were down 6.4 percent on Thursday, surrendering more than half of the gains made since the merger talks were revealed on Wednesday afternoon.

There are still many hurdles to be cleared but sources close to the talks said the US government is not likely to block it.

A combined company would be worth around 37 billion euros. The current workforce of the two is 220,000.

Sales last year for EADS and BAE together totalled 72 billion euros compared with Boeing’s 53.2 billion.

Boeing chief executive Jim McNerney said the Chicago-based aerospace leader was not fundamentally threatened by such a merger.

McNerney said BAE and EADS are following the same policy as Boeing in seeking to balance commercial and defence work. He said that “does reflect a global consolidation that is beginning to happen”.

BAE Systems is a supplier to Boeing for both its military and commercial aircraft.

US government approval would be needed as BAE is one of the largest suppliers to the American military.

Linda Hudson, chief executive of the US arm of BAE Systems, said the deal made sense given the downturn in US and European defence spending, but would also insulate the combined company against the inevitable cycles of the aerospace sector.

“It’s a win-win proposition for both companies in this environment,” Hudson said.

Executives at another major US defence industry player – Lockheed Martin – declined to comment.

Find us on:
Youtube http://bit.ly/zr3upY
Facebook http://www.facebook.com/euronews.fans
Twitter http://twitter.com/euronews

source

Related Topics:
Continue Reading
Click to comment

You must be logged in to post a comment Login

Leave a Reply

Tech EU News

“Recipes for Broken Hearts”: The first Bukhara Biennial unites artists and cultures

Published

1 hour ago

on

November 6, 2026

By



“Recipes for Broken Hearts”: The first Bukhara Biennial unites artists and cultures

The inaugural Bukhara Biennial, themed “Recipes for Broken Hearts”, brings over 200 artists from 40 countries to the Silk Road city, blending art, healing and heritage in Uzbekistan.

In partnership with Center of Islamic Civilization in Uzbekistan

READ MORE : http://www.euronews.com/2025/09/16/recipes-for-broken-hearts-the-first-bukhara-biennial-unites-artists-and-cultures

Subscribe to our channel: https://www.youtube.com/c/euronews?sub_confirmation=1
Watch our LIVE here: https://www.youtube.com/c/euronews/live

Subscribe to our thematic channels:
NoComment: https://www.youtube.com/c/nocommenttv?sub_confirmation=1
Euronews Green: http://bit.ly/2sMsaDB
Euronews Next: https://www.youtube.com/c/EuronewsNext?sub_confirmation=1
Euronews Travel: https://www.youtube.com/c/EuronewsTravel?sub_confirmation=1

Euronews is available on YouTube in 12 languages: https://www.youtube.com/user/euronewsnetwork/channels

source

Continue Reading

Tech EU News

Germany fails to gain seat on UN Security Council

Published

2 hours ago

on

November 6, 2026

By



Germany has failed to win a seat on the UN Security Council, losing out to Portugal and Austria for the two European spots starting in 2027.

source

Continue Reading

Tech EU News

Deadly Tornadoes aftermath in Tennessee #Storm #Tornado #Weather

Published

3 hours ago

on

November 6, 2026

By



Severe storms and tornadoes in Central Tennessee over the weekend resulted in the deaths of six people, including a toddler, and caused injuries to dozens, while damaging buildings, overturning vehicles, and leading to widespread power outages. Three fatalities occurred in Montgomery County, northwest of Nashville, and three in a neighborhood north of downtown Nashville. In the Madison neighborhood of Nashville, the community mourned the loss of Floridema Gabriel Perez and her two-year-old son, Anthony Elmer Mendez. Marco Tulio Gabriel Pérez, Floridema’s brother, traveled from Atlanta after the tragic incident, which also left two other children in the family injured. Residents, including Greg Chance, recounted the terrifying moments during the tornado, with Chance surviving in his kitchen safe spot. He mourned the loss of his coworker, Joseph Dalton, who died in the storm, leaving behind a son. The community grappled with the aftermath, cleaning up and dealing with the emotional impact of the disaster.

source

Continue Reading

Tech EU News

Thousands protest alleged police violence in Brussels

Published

4 hours ago

on

November 6, 2026

By



⬇️ Always stay informed ⬇️
👉 Follow all the news on 📲 https://euronews.com
👉 Subscribe ► https://www.youtube.com/@euronews
👉 Watch our LIVE here: https://www.youtube.com/c/euronews/live

🌎 Follow us:
Facebook: https://www.facebook.com/euronews
Twitter: https://twitter.com/euronews
Instagram: https://www.instagram.com/euronews.tv/

📌 Subscribe to our thematic channels:
NoComment: https://www.youtube.com/c/nocommenttv?sub_confirmation=1
Euronews Green: http://bit.ly/2sMsaDB
Euronews Next: https://www.youtube.com/c/EuronewsNext?sub_confirmation=1
Euronews Travel: https://www.youtube.com/c/EuronewsTravel?sub_confirmation=1

Download our new app to receive all the latest updates from Europe’s newsroom: https://apps.eur.ws/8HQ4

source

Continue Reading

Tech EU News

China introduces smoking ban in Beijing

Published

5 hours ago

on

November 6, 2026

By



A smoking ban in Beijing comes into force today in the Chinese capital’s, restaurants, offices and on public transport .

Health activists have pushed for years for stronger restrictions in a country which is the world’s largest tobacco consumer.

Under the new rules smokers will be fined and also named and shamed on a government website.

The selling of cigarettes will also no longer be allowed in shops within 100 metres of primary schools.

Smoking is a major health crisis in China where mor…
READ MORE : http://www.euronews.com/2015/06/01/china-introduces-smoking-ban-in-beijing

What are the top stories today? Click to watch: https://www.youtube.com/playlist?list=PLSyY1udCyYqBeDOz400FlseNGNqReKkFd

euronews: the most watched news channel in Europe
Subscribe! http://www.youtube.com/subscription_center?add_user=euronews

euronews is available in 13 languages: https://www.youtube.com/user/euronewsnetwork/channels

In English:
Website: http://www.euronews.com/news
Facebook: https://www.facebook.com/euronews
Twitter: http://twitter.com/euronews
Google+: http://google.com/+euronews
VKontakte: http://vk.com/en.euronews

source

Continue Reading

Trending

On this website we use first or third-party tools that store small files (cookie) on your device. Cookies are normally used to allow the site to run properly (technical cookies), to generate navigation usage reports (statistics cookies) and to suitable advertise our services/products (profiling cookies). We can directly use technical cookies, but you have the right to choose whether or not to enable statistical and profiling cookies. Enabling these cookies, you help us to offer you a better experience.