Melrose triggers hostile takeover of GKN
GKN is a UK engineering firm with 6,000 UK employees across 14 sites. Two of these locations are in North Bristol and employ upwards of 2,000 people. And as a major supply chain business to other advanced manufacturing companies in the aerospace industry (such as Airbus), GKN plays a vital role in one of our most important industries in the UK and, in the South West, as its number one sectoral employer.
But GKN’s future is now in jeopardy.
Melrose has started a hostile takeover bid of GKN. Melrose has the stated aim of taking over, turning around and then selling off companies in a short amount of time. This hostile takeover bid has been unanimously rejected by the GKN board and by Unite the Union on behalf of the workforce. On Thursday Melrose formalised its hostile takeover, triggering a 14-day countdown in which it can negotiate with GKN shareholders.
I have therefore asked the Secretary of State to use his powers under s58 of the Enterprise Act to intervene on the basis of public interest, including national security. You can read that letter by clicking here.
The Government must ask itself: is it on the side of a short term, asset stripping, profit only motivated finance firm, or is it on the side of a long established UK manufacturing firm, committed to British workers and British industry?
How you can help
Business Secretary, Greg Clark MP, has the power to intervene and stop the Melrose takeover of GKN.
You can e-mail him using the below form (remember to put your name and your e-mail into the form below – it will automatically go to Greg Clark). Or you can e-mail the Business Secretary directly on email@example.com
I’d suggest copying and pasting the following message:
Dear Greg Clark MP
GKN is a long established vital UK based engineering business, employing 6,000 people in the UK. Melrose seeks to buy and then sell off GKN in order to make a quick profit.
The GKN board and Unite the Union have both unanimously rejected the hostile takeover bid from Melrose. I support that rejection.
I therefore ask that you use your powers under the Enterprise Act 2002 to intervene on public interest and national security grounds.