Melrose-GKN bid needs 'close' lookpublished at 08:30 Greenwich Mean Time 16 March 2018
BBC Business News
Melrose's hostile bid for GKN, based in Redditch, took an extraordinary turn on Thursday when major customer Airbus stepped in to say it wouldn't give business to the FTSE 100 engineering group if the bid went ahead.
Rachel Reeves, chair of the Business, Energy and Industrial Strategy Committee, agreed with the rationale behind Airbus's statement, and told the Today programme: "I think there is a strong case for the Secretary of State for Business Greg Clark for calling in this takeover on grounds of national security because GKN does supply companies like Airbus and others, Rolls-Royce for example, who have defence contracts.
"There are grounds for looking at this much more closely."
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