With the prospect of two of the aviation industry's biggest conglomerates merging, Honeywell International Inc. and United Technologies Inc., a prominent firm that would be directly affected by the merger has stated its disapproval, reports Reuters.
In an announcement on Wednesday, Airbus CEO Tom Enders stated that his company does not see the merging of Honeywell and United Tech to be in Airbus' best interests. Currently, Enders' firm is among the two companies' biggest clients.
Though it has been confirmed that Honeywell and United Tech have engaged in talks about a possible merger, UTC has voiced its reservations about the possible merger on Monday, citing difficulties in getting the move approved, reports Aviation Week News.
Gregory Hayes, the United Technologies chief executive, even stated that the deal "ain't going to happen," and that "there is just no way to get it done."
Honeywell and United Tech have engaged in talks about possible mergers in the past, though its previous attempts have failed thus far. The latest talks, where Honeywell allegedly offered UTC about $90 billion for the merger, was ultimately shot down by the UTC CEO.
For its part, Honeywell has stated that the company still believes that a merger is still a possibility. In a statement on Tuesday, the company asserted its stance about the United Tech deal.
"We do not see the regulatory process as a material obstacle to a transaction," Honey said in a statement, according to The New York Times.
If successful, the combined companies would have a total market value of about $160 billion. For such a thing to happen, however, both Honeywell and United Tech are better off persuading their customers, such as Airbus, that the proposed merger is indeed for the greater good.
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