Thales completes €4.8B Gemalto takeover | Calamatta Cuschieri

Today’s article gives an overview of the Maltese, European and U.S. markets on Monday, and the latest news on success of Thales offer for Gemalto shares

The Maltese market closed in the green on Monday, with MSE Equity Total Return Index ending the session 0.08% higher, to 9,413.128 points. Best performer was Main Street Complex plc by adding 1.59% to close at 0.64, followed by Bank of Valletta plc adding 1.45% to 1.40. BMIT Technologies plc rose 0.96% to close at 0.525. Closing list of gainers Malta International Airport plc and RS2 Software plc with 0.76% and 0.71% increase to close at 6.65 and 1.42 respectively. International Hotel Investments plc showed biggest fall with 2.6% change to close at 0.75, followed by Lombard Bank Malta plc and Go plc, which shed 0.85% and 0.41% to close at 2.34 and 4.88 respectively. HSBC Bank Malta, Mapfre Middlesea, Simonds Farsons Cisk, Medserv, MaltaPost and MIDI plc were active but closed unchanged.

European shares started the second quarter strongly on Monday, posting their biggest daily gain in a month and a half, as unexpectedly strong factory data from China and signs of progress in its trade talks with Washington boosted risk appetite. The pan-European share index closed up 1.2% to 383.67. Germany’s DAX added 1.35% to 11681.99 and France’s CAC rose 1.2% to close at 5407.54.

U.S. stocks kicked off the week with strong gains on Monday after better-than-expected Chinese and U.S. economic data suggested the slowdown in the global manufacturing industry may be easing. The S&P 500 climbed 1.2% to end at 2,867. The Dow Jones Industrial Average picked up 1.3%, to end at 26,258. The Nasdaq Composite climbed 1.3% to end at 7,829.

French Group Thales Completes 4.8 Billion Euro Takeover of Gemalto

French aerospace and defense giant Thales SA announced on Tuesday that it has completed the acquisition of Dutch digital security company Gemalto after a 15-month approval process. The deal worth €4.8 billion will create an 80,000 employees-strong security firm and bolsters its research and development of the electronic security solutions.

"With Gemalto, a global leader in digital identification and data protection, Thales has acquired a set of highly complementary technologies and competencies with applications in all of our five vertical markets, which are now redefined as aerospace; space; ground transportation; digital identity and security; and defense and security," Chairman and CEO of Thales Patrice Caine (pictured) said in a statement.

It was reported earlier that the merger should've been worth $5.42 billion, or a 57% premium to the Gemalto share value at the beginning of the negotiations. The stock price of Thales was going up throughout the week in the expectations of the merger, ending yesterday's trading session with gains of 2.25%. Defense industry giant generated revenues of €19 billion in 2018.

This article was issued by Nadiia Grech, Junior Trader at Calamatta Cuschieri. For more information visit, The information, view and opinions provided in this article are being provided solely for educational and informational purposes and should not be construed as investment advice, advice concerning particular investments or investment decisions, or tax or legal advice. Calamatta Cuschieri Investment Services Ltd has not verified and consequently neither warrants the accuracy nor the veracity of any information, views or opinions appearing on this website.