The UK government is considering nationalising some of Rolls-Royce's sensitive defence business, according to a newspaper report, as a protective move amid uncertainty over the British firm's outlook. As David Pollard reports, a merger with BAE Systems could be another option under examination.
Rolls Royce and engine of the UK economy or at least a maker of them. In previous incarnations the UK's conservative government privatized Brooke off to rock of state from businesses. Could it considered during the reverts to parts of this iconic firm. The story in the Financial Times says nationalization is an option under scrutiny. Roles were shocked investors for months ago when it warned of shrinking profits in its aero engine unit its largest. Now there its its nuclear submarine business and focus Matthew Beasley as head of equities at Henderson global investors. They've all sorts of being rocked by a series of profits warnings. Who lost two years. That's very important. A grievous technology within Rolls Royce. That the company would be key to protect but they have from the couldn't do that bond that golden Chad. The company has. Resisted pressure to divest some divisions to focus on its their engines Pratt and Whitney at the US and Siemens of Germany set to be potential bidders. Where it's most sensitive technologies the FT reports of possible tie up with the eight. That neither seem not probable Walt this story. Some degree. If it's on the settlement conflicts that break the hold. One of the challenges you matched the rules what's the basic. It seems yet still today that we are a long way the company step in the merger also like idiots thought to attract fierce resistance from both companies.