The chairman of Italy’s defence and aerospace group Leonardo on Monday raised the possibility of a future combination with state-controlled shipbuilder Fincantieri, signalling renewed discussion around closer ties between two of the country’s biggest industrial groups, according to Reuters.

Speaking at a conference hosted by Milan’s Bocconi University, Leonardo Chairman Stefano Pontecorvo suggested that a merger between the two companies could be considered at some point, per Reuters. He directed the remark to Claudio Cisilino, Fincantieri’s executive vice-president for operations, who was attending the event.

“I hope that one day a merger between us might be possible,” Pontecorvo said, without providing further details or a timeframe.

Leonardo and Fincantieri are both majority-owned by the Italian state and already collaborate on several defence and naval programmes. However, earlier efforts to push for deeper industrial integration have struggled to gain traction, according to Reuters, as political sensitivities and differing strategic priorities complicated talks.

The comments come as Fincantieri seeks to strengthen its presence in the defence sector. In its most recent five-year industrial plan, the shipbuilder identified defence as a key area for expansion, aiming to diversify its business beyond commercial shipbuilding, per Reuters.

While no formal discussions have been announced, Pontecorvo’s remarks highlight ongoing interest within Italy’s defence industry in exploring ways to consolidate capabilities amid increasing global competition and rising defence spending across Europe.

Source: Reuters