Australian Industry Development Corporation News

Swedish defense group Saab AB said it understood the Australian government wished to negotiate about Saab's stake in the Australian Submarine Corporation (ASC), though it had not been officially informed. Saab acquired the 49 percent ASC stake during a consolidation of the Swedish defense industry last year. As part of the shake-up Saab intends to transfer the holding to Germany's Howaldtswerke-Deutsche Werft (HDW), a major producer of conventionally powered submarines which now controls the Swedish Kockums naval shipyard. "We understand the Australian government has taken a decision to negotiate with us about the ASC stake, which they have a pre-emptive right to do," Saab senior executive vice-president Lars Josefsson said.