EADS, Europe’s largest aerospace company, and BAE Systems, its largest defence company, are in talks about a potential tie-up, the British group has said.
The pair would create a dual-listed company structure, under which they would operate as one group, BAE said. But each would be remain separately listed on their existing exchanges.
A combined group would have a joint market capitalisation of some $48bn, based on Tuesday’s closing prices, and would represent a formidable force in the defence and aerospace industries, serving customers from Washington to Riyadh.
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