The state acquires a preferential share (“golden share”) in the French defense group LMB Aerospace after its sale to an American company, according to an order published on Sunday in the Official Journal, in order to retain oversight, as previously announced.
The order from the Ministry of Economy, Finance, and Industrial Sovereignty states that “the State decides to acquire a share in the simplified joint-stock company LMB from the simplified joint-stock company ASC3 LMB Holding, for a price of 1 (one) euro”, and that “the State’s commissioner for participation is responsible for executing this order.”
This acquisition forms the basis of the “golden share”, which will give the State a decisive oversight over strategic decisions of the acquirer Loar Group, if they are deemed contrary to French interests.
The announcement of the sale in late January of the Croatian manufacturer of fans for Rafale and nuclear submarines had raised concerns and controversies, with the government being accused of selling, or even “selling off”, a strategic asset to an American group at a time when the United States appears to be an increasingly unpredictable ally.
The Ministry of Economy sought to reassure, especially regarding the maintenance of LMB’s activities in France, and Economy Minister Roland Lescure had announced that the State would hold this preferential share in LMB.
