Buy OR Sale : Giant Multinational Companies ( Global Defence Industry ).

Discussion in 'International Politics' started by Zebra, Sep 23, 2011.

  1. Zebra

    Zebra Senior Member Senior Member

    Mar 18, 2011
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    Buy OR Sell : Giant Multinational Companies ( Global Defence Industry ).

    Reports: Qatar Interested in Daimler's EADS Shares

    Published: 21 Sep 2011 10:32

    BONN - The Arab emirate Qatar has shown interest in buying a 7.5 percent share of EADS currently held by German company Daimler, according to reports.

    The German car manufacturer, which announced plans to get rid of its holding some time ago, denied any contacts with the Middle Eastern country.

    According to the German magazine Der Spiegel, government officials from the Arab emirate recently met for their first negotiations on the matter with German Economy Secretary Phillip Rösler who, contrary to Berlin's former position, reportedly does not oppose having shares held abroad.

    His department would not comment officially. However, according to officials in this office, while Qatar's interest would show that EADS would be a highly attractive company, "the entry of government funds would have to be examined especially critically due to the technological political importance of EADS."

    Daimler holds 15 percent of EADS shares directly and has parked 7.5 percent in banks, with exercising the voting rights for all 22.5 percent. What makes this situation especially complicated is the sophisticated inner European shareholder balance. To secure a balance of power and equal representation of interests, Germany and France hold exactly the same percentage in EADS.

    While the office of conservative Chancellor Angela Merkel has reportedly supported a deal with the state-owned business development bank KfW stepping in, the economics department is opposing this deal as it could be seen as indirect government involvement. The department, headed by the liberal democrats, fears a regulatory, political breach if the German state would engage itself indirectly in EADS via the bank.

    Reports: Qatar Interested in Daimler's EADS Shares - Defense News


    Any idea - why Indian companies are not taking intrest in such big deals .
    Last edited: Sep 23, 2011

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