It looks increasingly likely that whatever the outcome of what now looks a very problematic joint bid by GEC Plc and Siemens AG for Plessey Co Plc, Plessey will end up selling its 50% interest in GEC Plessey Telecommunications Ltd, likely to GEC, and that GEC will then put the business into a joint venture with Siemens: Siemens says that regardless of the outcome of the bid it wants to collaborate with GEC on a range of activities, with semiconductors and defence electronics only the start; Siemens’ cash mountain makes even that of GEC look like a molehill, so the two together will create something looking like Europe’s biggest bank.
