On 21 March 2007, Smiths Group plc (Smiths) and General Electric Company (GE) announced that they had conditionally agreed to form a joint venture to be named Smiths GE Detection. Smiths and GE now announce that, after careful consideration, they have decided not to proceed to form the joint venture as they now believe the interests of both businesses are best served by their remaining independent.
The agreement of 21 March 2007 contained conditions precedent to the formation of the joint venture. After considerable endeavour by both parties, Smiths and GE were unable to agree on a strategic vision for the combined business, and as a result were not able to agree how to satisfy certain of these conditions.
Smiths Detection and GE Homeland Protection offer complementary products in the airports sector that are critical to the customers and markets they serve. The parties' existing joint cooperation agreement is unaffected by today's announcement.
ENDS