10th May 2006 16:33
BAE SYSTEMS PLC10 May 2006 BAE Systems plc ("BAE Systems") Statement regarding Babcock International Group plc ("Babcock") 10 May 06 On 23 March 2006, BAE Systems and VT Group plc announced that they were engagedin exploratory discussions with respect to a potential joint acquisition ofBabcock. These discussions have now ceased. Accordingly, BAE Systems confirmsthat it has no present intention of making an offer for Babcock*. BAE Systems will continue to consider alternative options to restructure the UKnaval surface ship and submarine sectors, in line with HMG's policy set out inthe Defence White Paper published in December 2005. * Pursuant to Rule 2.8 of the City Code on Takeovers and Mergers (the "Code"),BAE Systems reserves the right to announce an offer or possible offer forBabcock and / or take any other action which would otherwise be restricted underRule 2.8 of the Code within the next six months if there is a material change ofcircumstances or if any of the following events occurs: (i) there is an announcement of a third party offer for Babcock; (ii) the agreement or recommendation of the Board of Babcock to anoffer from BAE Systems or from a person with whom BAE Systems is acting inconcert or to a joint offer from BAE Systems and a concert party; or (iii) Babcock announces a whitewash proposal or a reverse takeover. Issued by BAE Systems plc London This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
BAE SystemsBabcock