Thales Strategic Alliances: Mergers, Acquisitions, and Major Shareholders

Thales Strategic alliances
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Thales strategic alliances 2
7. Explanation of strategic alliances of Thales
Being a giant in the market for aerospace and military defense across the globe, Thales
has found itself in a position whereby it serves upcoming companies in the security and defense
sector. Thales has many connections but it is significant to note that most of Thales connections
have been more of alliances than mergers with different companies. Thales has always opted for
a contractual agreement as one of its strategy in forming alliances with these companies.
Details on one major shareholder (150 words)
The French government is one of the major shareholders of Thales Company. The French
government used to own about 31.1 percent of Thales until 2006 when the firm acquired
Alcatel’s Rail signalling solution and part of its space business. The result of the merger saw the
French government decrease its ownership of Thales to 27.1 percent while raising Alcatel’s share
to 21.66 percent. Due to its tight link with the French government, Thales has been one of the
sole companies that have been contracted to design electronic devices, naval and aerospace
weapons used by the French Army. Moreover the French government has involved Thales as the
major contractor to work on various electronic systems in various state owned departments
including energy, finance and the health sector.