PARIS \u2014 France edged forward to the planned 50-50 joint venture between Nexter and German partner Krauss-Maffei Wegmann with the July 9 parliamentary adoption of privatization of the state-owned land weapons manufacturer.<\/p>\n\n\n\n
A privatization of Nexter was among a package of measures proposed by Economy Minister Emmanuel Macron aimed at liberalizing an ailing domestic economy. The parliamentary upper and lower houses have now adopted the Macron law, which drew opposition from both conservative and left wing politicians.<\/p>\n\n\n\n
KMW and Nexter are in talks to forge a joint holding company that would be a European leader in land armaments with annual sales of almost \u20ac2 billion (US $2.2 billion). The planned joint venture, to be based in Amsterdam, is named KMW And Nexter Together, or KANT.<\/p>\n\n\n\n
Nexter and KMW managers are negotiating and hope to sign the alliance agreement this month, an industry executive said. “The negotiations are moving ahead,” the executive said.<\/p>\n\n\n\n
At the July 9 board meeting of Giat, the state-owned holding company of Nexter, 12 out of 18 board members voted in favor of the link-up, while three trade union representatives abstained and three voted against, said a note from Conf\u00e9d\u00e9ration Fran\u00e7aise D\u00e9mocratique du Travail, one of the unions that abstained. The CFDT is worried about the employment outlook.<\/p>\n\n\n\n