FLORENCE, Sept 9 (Askume) – Italian aerospace and defence group Leonardo (LDOF.MI) is in talks with European rivals to finalise planned alliances and joint ventures, its chief executive said on Monday, although the industry is struggling to keep pace.
At an event in Florence, Chief Executive Roberto Cingolani said talks with Airbus (AIR.PA) and Thales (TCFP.PA) were “progressing”.
In July, Leonardo confirmed it was in talks with two French companies about a possible alliance and synergies to strengthen Europe’s presence in the aerospace industry.
The chief executive said technical teams were working every week on a planned joint venture with Germany’s Rheinmetall AG (RHMG.DE) . “So far everything is going well and I think we will finish the job soon.”
In July, the two companies agreed to form a joint venture to produce tanks and other land defense systems , which is expected to be finalized in September.
The EU wants a more aggressive European space strategy to avoid being overwhelmed by American and Chinese launcher technology.
In July, Zingolani said Leonardo’s new strategic structure would be ready by the end of the month.
He said Monday that the company was “slightly ahead of schedule” in developing a strategy for its new space unit. “The plan is ready and a team, including external consultants, is working to incorporate it into an updated business plan.”
Leonardo builds satellites, orbital infrastructure and sensors, and manages satellite services and propulsion and launch systems.
Defense company executives told Askume in July that Western governments would continue to increase weapons spending to counter Russia and China, though they dismissed concerns that political unrest in the United States and Europe could lead to reduced military budgets.
