British Aerospace Plc and Daimler Benz Aerospace appear to be the victors in the battle to gain control of Siemens AG’s UK defense arm, Siemens-Plessey. The two have been selected as the preferred bidder over Thomson SA, according to weekend press reports, even though Thomson’s bid – said to be 450m pounds – was above BA- Daimler’s 375m pounds. It’s thought the UK Ministry of Defence took a dim view of the prospect of Thomson gaining control over Siemens-Plessey’s radar and military radar technology. The Siemens arm also has a 30% stake in the Archer Consortium, partnering with ITT Industries and Racal Electronics, and ITT and Racal are said to have warned that they would force the French to sell off the stake if they acquired Siemens-Plessey, undermining the deal.
