EADS signs JV Deal with Emirates Advanced Investments
12:00 AM, February 23, 2009
ABU DHABI - The European company EADS Defense & Security said that it has signed an agreement with Emirates Advanced Investments to set up Joint Venture Company C4 Advanced Solutions at IDEX 2009. EADS said that the deal was intended to open a long term relationship between EADS Defense & Security and Emirates Advanced Investments. The joint venture company would be a cornerstone of EADS' strategy to transfer technology to the United Arab Emirates and pursue a policy of local citizenship in the regions where it seeks to boost business. EADS wants to build up an international presence, diversifying away from its European home market. Last year, the group bought PlantCML, an American emergency response operator. The economic crisis, however, has forced EADS to conserve its large cash holdings, which will be carefully used to help finance purchases of Airbus airliners rather than fund large mergers and acquisitions around the world. In the Gulf region, the security priorities were ensuring telecommunications security by installing Tetra digital technology and surveillance of critical infrastructure, Guillou said. The surveillance requirement extends to national borders and maritime zones. The United Arab Emirates has awarded EADS D&S an engineering study contract worth 18 million euros on surveillance systems.
A third priority is in the traditional defense arena, consisting of large scale digital command and control systems. The joint venture agreement was intended to help develop local capabilities in this area. EADS D&S has annual sales of about 200 million euros in the region.