Advertisement
Singapore markets closed
  • Straits Times Index

    3,224.01
    -27.70 (-0.85%)
     
  • Nikkei

    40,168.07
    -594.66 (-1.46%)
     
  • Hang Seng

    16,541.42
    +148.58 (+0.91%)
     
  • FTSE 100

    7,952.62
    +20.64 (+0.26%)
     
  • Bitcoin USD

    70,801.02
    +1,662.66 (+2.40%)
     
  • CMC Crypto 200

    885.54
    0.00 (0.00%)
     
  • S&P 500

    5,254.35
    +5.86 (+0.11%)
     
  • Dow

    39,807.37
    +47.29 (+0.12%)
     
  • Nasdaq

    16,379.46
    -20.06 (-0.12%)
     
  • Gold

    2,254.80
    +16.40 (+0.73%)
     
  • Crude Oil

    83.11
    -0.06 (-0.07%)
     
  • 10-Yr Bond

    4.2060
    +0.0100 (+0.24%)
     
  • FTSE Bursa Malaysia

    1,530.60
    -7.82 (-0.51%)
     
  • Jakarta Composite Index

    7,288.81
    -21.28 (-0.29%)
     
  • PSE Index

    6,903.53
    +5.36 (+0.08%)
     

BAE, Rolls look to navigate way through Brexit fallout

LONDON (Reuters) - BAE Systems (BAES.L) and Rolls Royce (RR.L) will navigate their way through the uncertainty created by Britain's vote to leave the European Union, the country's two biggest aerospace firms said on Monday.

Britain hosts the biennial Farnborough Airshow this week which draws BAE and Rolls clients from around the world, relationships which the two firms said they expect to maintain despite the country's decision to leave the world's largest trading bloc.

"We don't trade with the EU as a defence entity, it's with individual nations and I do not believe the UK government is going to take its foot off the pedal in terms of defence and security," BAE's Ian King told BBC radio.

"I think those relationships will endure and it will endure because of the quality of the armed forces that we have and the quality of technology and capability that we have in that industry."

ADVERTISEMENT

On Monday, Rolls-Royce said it would take 100 percent control of Spain-based aircraft engine and components firm Industria de Turbo Propulsores (ITP) by buying a 53.1 percent stake owned by SENER Grupo de Ingeniería for 720 million euros ($795 million).

Rolls-Royce boss Warren East said the maker of engines for aircraft and ships would also look to its global connections as it seeks to adapt to its new environment.

"We just have to get on with it," East told the BBC. "If you look at our future business over the next 10 years or so then probably three quarters of that is coming from outside of the EU and we have to take that global view."

East said the main questions raised by the outcome of Britain's June 23 EU referendum included whether Rolls-Royce staff could continue to move around Europe with ease and what changes the company would face from new trade laws.

"We need to work within those limits and find creative ways of getting around whatever problems come our way," he said.

(Reporting by Kate Holton; editing by Jason Neely)