Four European Companies Launch Space Merger Venture

Category

Corporate & other activities

Paris, December 23, 1998

Following the Memorandum of Understanding signed on 17 May 1997, the companies DAIMLERCHRYSLER AEROSPACE (D), GEC (UK) and LAGARDÈRE (F) have almost finalized their agreement regarding the merger of their space sector interests, consisting of MATRA MARCONI SPACE (MMS), DASA Raumfahrt-Infrastruktur (DASA-RI) and DORNIER Satellitensystem (DSS).

The merger will become operational during 1999 once the final agreement has been reached and once the relevant authorisations have been received from the European Union.

At the same time, an agreement has been reached with the group FINMECCANICA (I) to merge its ALENIA Spazio division with this new European space company. This agreement is also intended to become operational in 1999.

The Heads of Agreement, signed on 23 December 1998 between DASA, FINMECCANICA, LAGARDÈRE and MARCONI Electronic Systems, cover the main terms and conditions of the merger of the space sector businesses of these four groups, subject to relevant corporate and regulatory approval.

The joint space sector company will be managed by a Management Board and will have a Supervisory Board, all major decisions being taken in both contests on the basis of a balanced partnership.

The Management Board will consist of two members appointed by MATRA MARCONI SPACE, two members nominated by DASA, and two members appointed by FINMECCANICA.

The creation of a European space company has been pursued by DASA, FINMECCANICA, LAGARDÈRE and GEC since 1997. The joint venture is in line with the overall restructuring process in the aerospace industry following the globalisation of the markets. It will be Europe’s number one space company, with revenues in excess of 2.7 Billion EUROS ($ 3 B) and some 11,000 employees, in France, Germany, Great-Britain and Italy. Its business interests will cover scientific and observation satellites, telecommunication, navigation and multimedia satellite systems, launch vehicles and the orbital infrastructures.

Press Contacts :

LAGARDERE
Jean-Pierre Joulin - Tel. 33 1 40 69 18 04
Roland Sanguinetti - Tel. 33 1 40 69 16 74
E-mail : presse@lagardere.fr

GEC MARCONI ELECTRONIC SYSTEMS
Alan TULL
Tel. 44 181 420 3115

FINMECCANICA
Salvatore TORIELLO
Tel. 39 06 32 47 34 97

DASA
Dr. Rainer OHLER
Tel. 49 89 607 342 35

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