The chairman of defence technology firm Meggitt has said that the government has to be prepared to intervene in a takeover battle for the company to guarantee a commitment on future investment and jobs.
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Meggitt has previously accepted a Parker bid of £6.3bn for Meggitt, which came with assurances to not break up the company.
Rudd told the Sunday Times that while “clearly, price is important” in the takeover that there should be other considerations in the sale, which the government should keep a close eye on.
“The government could intervene,” Rudd said.
“It’s the government’s job to look after national interests. I’ve always believed that. It’s more difficult for the chairman of a public company to do that, because we have a fiduciary duty.”
Parker’s big came alongside legally bind commitments in six areas, promising to not break up the firm’s four divisions for at least a year.
The firm also made a commitment to maintain a majority of British board members.
Meggitt makes almost half of its revenues from defence, with the rest coming from civil aviation and energy.
Any takeover bid could be scrutinised under national security grounds by the government.
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