UK competition watchdog looks into Meggitt sale
Meggitt makes composite components for military aircraft such as the F-35. (Photo: Meggitt)
Pending acquisition of Meggitt by Parker-Hannifin is subject to review.
The UK government announced on 18 October that it has referred the planned acquisition of Meggitt by Parker-Hannifin to the Competition and Markets Authority (CMA).
The CMA is required to report to the Secretary of State for Business, Energy and Industrial Strategy by 18 March 2022.
‘Meggitt continues to expect that the acquisition will complete in the third quarter of 2022,’ the UK company announced in a 19 October statement.
The acquisition of Meggitt would cost about £6.3 billion ($8.76 billion), Shephard reported in August when the deal was announced.
Under the National Security and Investment Act, which enters into UK law in January 2022, the government has enhanced powers to investigate and where necessary intervene in defence-related mergers, acquisitions and other transactions.
A bid from US-owned Cobham for Ultra Electronics, announced in July 2021, is also being investigated by the UK government.
You may also like
More from Defence Notes
-
![Top-level commitments but no meat in UK Defence Industrial Strategy’s Statement of Intent]()
Top-level commitments but no meat in UK Defence Industrial Strategy’s Statement of Intent
The initial document focused more on creating the right partnerships and inspiring investment in defence than on any details of how future UK Armed Forces would be armed.
-
![UK begins process on new industrial strategy]()
UK begins process on new industrial strategy
The first stage of developing a new UK Defence Industrial Strategy has highlighted failings in current structures with solutions expected to be proposed in next year’s full strategy.
-
![Romanians put pro-Russian candidate into presidential runoff even as the government spends west]()
Romanians put pro-Russian candidate into presidential runoff even as the government spends west
Romania joined NATO more than two decades ago and the country is vital to the alliance’s geographic reach and its ability to supply Ukraine with weapons.
-
![What the future holds for Ukraine and NATO under a Trump administration]()
What the future holds for Ukraine and NATO under a Trump administration
Although Trump’s geopolitics policy for Europe remains unclear, defence analysts from the US and Europe predict how his incoming administration would attempt to handle critical issues on the continent.
-
![RUSI deputy: UK needs longer procurement plans and improved awareness of US sift to Indo-Pacific]()
RUSI deputy: UK needs longer procurement plans and improved awareness of US sift to Indo-Pacific
The UK budget announced in Parliament on 30 October was the first by a Labour government in 14 years which has also launched a review into defence procurement programmes.
-
![Australia outlines longer punch and brings local industry onboard]()
Australia outlines longer punch and brings local industry onboard
The Australian government has placed a focus on Guided Weapons and Explosive Ordnance (GWEO) which has included the purchase of additional long-range rocket systems and investments in local production of missiles.
