Indra is considering a merger with its shareholder Escribano.

BarcelonaThe drums of a merger are beating in the defense sector. Indra is considering the possibility of a merger with one of its main shareholders, Escribano Mechanical & Engineering (EM&E Group), according to industry sources consulted by ARA. It so happens that one of the members of the family business group, Ángel Escribano, is currently the chairman of Indra, in which they hold a 14% stake. Following reports circulating that Indra had hired KPMG to analyze the transaction and estimated the value of EM&E Group at between €1 billion and €1.5 billion, reports to the contrary also emerged. Specifically, Ángel Escribano stated that "the Escribano company is not for sale, and is worth much more than €1 billion" in statements to the press. The Newspaper.

Indra's main shareholder is the State, through the public company SEPI, with more than 25% of the capital. Sources from this company affirm to ARA that they will not comment. The possibility of this merger was revealed after the failed attempt to acquire the Spanish subsidiary Santa Bárbara Sistemas from the US company General Dynamics.

EM&E has two seats on Indra's board of directors. One belongs to Ángel Escribano and the other to his brother Javier. The latter has taken over as president of the family business since SEPI proposed Ángel Escribano to preside over Indra following Marc Murtra's departure to Telefónica. The possible merger between Indra and Escribano would be in line with the most recent moves made by European giants in the defense sector. Examples include Airbus, Thales, and Leonardo, which are negotiating a merger of their space businesses, and Rheinmetall and Leonardo, which have teamed up to manufacture combat vehicles.