BERLIN – German defense company Kraus-Maffei Wegmann and France's Nexter Systems have announced plans for an alliance that they say will make it possible to keep jobs and skills in Europe.
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The two companies, whose products include tanks, armored personnel carriers and artillery systems, said late Tuesday that they plan to ally under a joint holding company. The two firms' current owners each will receive 50 percent of the shares in the holding company.
KMW is privately held, while Nexter is owned by a French state holding company. The two companies say they consider the planned alliance — which they hope to put in place early next year — as "decisive for the consolidation of the defense technology industry in Europe."
The two companies have more than 6,000 employees in total.