GKN - Update - April 2018

LATEST NEWS

Last Wednesday, 31 January 2018, Melrose PLC launched the largest hostile bid in the UK since Kraft swooped on Cadbury in 2009, with a formal £7bn cash and share offer for the engineering giant GKN.

GKN, which employs more than 300 people at its Hadley Park site, in Telford, has so far resisted Melrose's overtures, and has accused the American industrial turnaround company of trying to buy the group "on the cheap", "just at the point when it is beginning to reap the benefits of its long-term investment".

 

MY POSITION

I am determined to protect jobs and operations at GKN's base in Telford, as well the pensions of its staff, and I am lobbying the Government for assurances across all three areas. 

You can read up on the latest developments, and my efforts in relation to this situation, via the below links.

 

08/04/2018

Government expected to review takeover rules

Government crackdown on city profiteers 

 

31/03/2018

Lucy Allan MP: GKN takeover should be halted

 

29/03/2018

Lucy issues statement on GKN takeover

 

19/03/2018

Melrose proposes £1bn boost to GKN pension fund

 

15/03/2018

Airbus warns of GKN takeover bid

Opposition to hostile bid for GKN gathers pace

Proposed takeover of GKN debated by MPs

 

13/03/2018

Dana woos GKN shareholders with dual-listing option

 

08/03/2018

GKN says automotive arm will deliver £153m of annual benefits by 2020

 

06/03/2018

Melrose bid is a "threat to UK security", MPs warn

 

02/03/2018

GKN tries to call the tune with Dana deal

 

01/03/2018

GKN confirms talks with Dana over sale of automotive arm

 

28/02/2018

Lucy meets GKN workers at Parliament

Proxy shareholding group PIRC opposes Melrose bid for GKN 

West Midlands Mayor, Andy Street, joins GKN defence against Melrose

 

27/02/2018

Melrose handed a double boost in its pursuit of GKN

GKN profits rise 125% 

 

20/02/2018

Defence Secretary to face grilling over hostile GKN takeover

 

16/02/2018

GKN shareholders urged to reject 'debt-fuelled' takeover 

 

15/02/2018

GKN sends letter to shareholders warning of opportunistic bid by Melrose PLC 

 

08/02/2018

Call for Government to step in

Minister of State, Andrew Griffiths MP, responds to my letter 

 

07/02/2018

'Fears bankers, financiers, lawyers and public relations executives stand to rake in about £140 million' 

 

05/02/2018

My question to Secretary of State for Work and Pensions, Esther McVey, following the formal launch of Melrose's takeover bid: https://youtu.be/02H0F6TEBz0

Q: The GKN takeover proposal announced last Thursday seeks to pay a £1.4 billion sweetener to shareholders, despite a £2 billion pension deficit. Does the Minister agree that the Government should act to protect the interests of GKN pension fund members?

A: Of course the Government agree that we have to look after the concerns of the GKN workers. Here we have actually seen the trustees of the pension fund coming out, being bold and wanting reassurance from the other company that it can indeed pay for the pension scheme. We can look at the argument from two sides. GKN has to be strong and robust, but also Melrose should voluntarily ask the regulator to look into the implied costs in that benefit scheme to make sure that it can afford to take over the other company.

 

01/02/2018

GKN bosses label Melrose PLC's £7.4bn offer as "derisory" 

 

30/01/2018

My meeting with GKN and Unite the Union representatives at Westminster

 

22/01/2018

My letter to the Secretary of State for Business, Greg Clark

My question to the Secretary of State for Work and Pensions, Esther McVey