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| Down Under |
| Thales plans takeover of Australian defence firm |
| 2006-03-06 |
| French defence giant Thales announced plans Saturday for a complete takeover of Australia's largest military manufacturer ADI, in a move that could raise concerns in Washington. Thales and Australian construction giant Transfield currently each own a half share in ADI, which was privatised by the Australian government in 1999 for almost 350 million dollars (260 million US). "Thales Australia today announced its plans to increase its stake in Australian defence contractor ADI Limited to 100 percent," the company, a wholly-owned subsidiary of the French parent, said in a statement posted on the ADI website. Thales said the transaction was conditional on approval from Australia's Foreign Investment Review Board. No figures were given for the ADI takeover bid, but the number is certain to run into the hundreds of millions of dollars. The Australian newspaper said the United States would be concerned about a French-controlled company handling some of its sensitive military technology. The US and Australian military cooperate closely and share technology, with "interoperability" between the two forces one of Canberra's stated goals when acquiring defence hardware. The newspaper said a similar takeover proposal was scuttled five years ago because of security concerns. Thales is 30 percent owned by the French government, which has questioned elements of Washington's "war on terror", while Australia is a strong US ally that has participated in the invasions of both Iraq and Afghanistan. ADI has annual sales of 700 million dollars and employs 2,500 people. It has a wide range of contracts with the Australian military providing munitions, minehunter ships, missile frigate upgrades, armoured personnel carriers and software for a fleet of Eurocopter Tiger attack helicopters. Thales operates in more than 30 countries, has 60,000 staff and annual revenues of 10.3 billion euros (12.4 billion US). |
| Posted by:lotp |
| #4 Yeah - that's my take too. |
| Posted by: lotp 2006-03-06 16:56 |
| #3 This is a lot more disconcerting than DPW. |
| Posted by: Nimble Spemble 2006-03-06 16:50 |
| #2 yup - that one. |
| Posted by: lotp 2006-03-06 16:46 |
| #1 Thales? This French company, 30% state owned? From RB Archives on 9-26-2005: French defense-electronics group Thales SA on Monday denied allegations from a fired company executive that it paid out millions of dollars in bribes and sold chemical weapons to the former Iraqi regime of Saddam Hussein. "The Thales Group formally denies accusations of corruption in France and internationally, lodged against it by a former manager at THEC," the company said in a statement. Michel Josserand, former chief executive of Thales Engineering and Consulting, or THEC, said in an interview with newspaper Le Monde that that the paying of bribes by Thales was widespread - in violation of French law and international conventions. "I estimate that Thales must pay out between 1 percent and 2 percent of its global revenue in illegal commissions," he said. Thales posted revenue of 10.3 billion euros ($12.5 billion) for 2004. He also said Thales had "sidestepped the (U.N.) Oil for Food Program and delivered chemical weapons to Saddam Hussein's government." |
| Posted by: Danielle 2006-03-06 16:27 |