Reject bid call

Unite today (March 12) urged shareholders to reject Melrose’s latest bid for GKN and repeated calls for the business secretary Greg Clark to intervene in the debt-fuelled takeover bid on grounds of national security.

 
Responding to news that GKN’s board had recommended that shareholders reject Melrose’s latest bid, Unite assistant general secretary for aerospace Steve Turner said, “It is clear from its latest bid for the whole of GKN that nothing has changed regarding Melrose’s approach which is built on debt and short-termism to turn a quick buck.

 
“Our members remain deeply fearful that they will see their jobs axed or shipped overseas to fund a debt-fuelled pay bonanza for Melrose bosses and hedge funds.

 
“Melrose’s self-professed short-term approach of breaking companies up and selling parts quickly on, raises major concerns for UK defence interests and works against the long-term projects that GKN Aerospace is involved in and the intellectual property involved.

 
“Unite will be meeting Melrose to discuss its bid in detail, but remains of the belief that it is bad for jobs, skills and investment and that the business secretary should call it in on national security grounds.”