Alcatel plans to take advantage of its "clear synergies" with Thomson-CSF, following agreement with the French Government on increasing its shareholding in the defence electronics giant.
The move follows the completion of negotiations with the government which allow Alcatel to reduce its stake in state-owned nuclear power company Framatome from 44% to 8.6%.
In parallel, Alcatel is taking part of the government's holding in Thomson-CSF to increase its share of the defence electronics from 16% to 25.3%, allowing a greater say in the running of the company. "The 16% participation was too small. Now, we can get down to business", says Alcatel president Serge Tchuruk.
The only real merger of the activities of the two companies has been in space, but now a far wider cooperation is planned.
Source: Flight International