Rheinmetall, Leonardo CEOs say deal paves way for EU defence consolidation
Adds context on European defence consolidation in paragraphs 5-7
ROME, July 4 (Reuters) -The newly-formed joint venture between Germany's Rheinmetall RHMG.DE and Italy's Leonardo LDOF.MI is a first step in the consolidation of the European defence vehicle sector, the chief executives ofthe two groups said on Thursday.
Rheinmetall CEO Armin Papperger added that the agreement, announced on Wednesday, could capitalise on a European market worth more than 50 billion euros ($53.99 billion).
"My expectation is that, with (this) cooperation only on the vehicle side, there is a market of more than 50 bln euros, a huge market that we can conquer," Papperger said in a recorded message posted online.
"We can help Europe grow, together, and this is a very first small step on the vehicle side for consolidation on the European level," he added.
The move could accelerate the consolidation of defence assets across Europe, a highly political endeavour where diverging national interests have so far proven somewhat of a hurdle.
However, Russia's war with Ukraine has raised hopes for more concerted efforts, with Germany currently considering teaming up with private equity firm Carlyle to jointly acquire a majority in Thyssenkrupp's TKAG.DE submarines and frigates division.
Last week, France agreed to buy the ASN submarine networks business from Nokia NOKIA.HE in the latest sign of a European government wanting to get a tighter grip on defence activities.
The alliance between Rheinmetall and Leonardo, which followed thebreakdown of talks between Leonardo and Franco-German company KNDS, is in line with the two groups' broader objective of creating pan-European consortia to develop new combat systems.
The two companies said on Wednesday the deal aims to produce tanks and other land defence systems.
"The target is to create a machine that is cutting-edgefor the future. A machine that is cross-domain and interoperable, talking, in the future, to satellites, helicopters and aircraft," Leonardo CEO Roberto Cingolani said.
($1 = 0.9261 euros)
Reporting by Giulia Segreti and Matthias Inverardi; Additional reporting by Christoph Steitz; editing by Gavin Jones and Paul Simao
免責聲明: XM Group提供線上交易平台的登入和執行服務，允許個人查看和/或使用網站所提供的內容，但不進行任何更改或擴展其服務和訪問權限，並受以下條款與條例約束：（i）條款與條例；（ii）風險提示；（iii）完全免責聲明。網站內部所提供的所有資訊，僅限於一般資訊用途。請注意，我們所有的線上交易平台內容並不構成，也不被視為進入金融市場交易的邀約或邀請 。金融市場交易會對您的投資帶來重大風險。
所有缐上交易平台所發佈的資料，僅適用於教育/資訊類用途，不包含也不應被視爲適用於金融、投資稅或交易相關諮詢和建議，或是交易價格紀錄，或是任何金融商品或非應邀途徑的金融相關優惠的交易邀約或邀請。
本網站的所有XM和第三方所提供的内容，包括意見、新聞、研究、分析、價格其他資訊和第三方網站鏈接，皆爲‘按原狀’，並作爲一般市場評論所提供，而非投資建議。請理解和接受，所有被歸類為投資研究範圍的相關内容，並非爲了促進投資研究獨立性，而根據法律要求所編寫，而是被視爲符合營銷傳播相關法律與法規所編寫的内容。請確保您已詳讀並完全理解我們的非獨立投資研究提示和風險提示資訊，相關詳情請點擊 這裡查看。
