Shares in Thales SA (EP:HO) faced a blow on Friday morning as news emerged the aviation and defence firm was under investigation over allegations of bribery and corruption.
French and UK authorities unveiled the joint probe into Thales, which employs over 7,000 staff in the latter, on Thursday.
“Working collaboratively with our international partners is a crucial factor in the fight against international corruption,” UK Serious Fraud Office director Nick Ephgrave said.
“We will together rigorously pursue every avenue in our investigation into these serious allegations.”
Thales, which has its UK headquarters in Reading, built 650 lightweight multirole missiles which the UK in September said would be sent to Ukraine and also secured a £1.8 billion contract last February for Royal Navy ship and submarine maintenance.
“Thales confirms that the Serious Fraud Office and the Parquet National Financier have commenced an investigation in relation to four of its entities in France and the UK,” a spokesperson said.
“Thales is cooperating with the PNF in France and the SFO in the UK. The group complies with all national and international regulations.”
“As the investigation is ongoing, Thales will not comment further.”
Shares dropped 5% to €145 on Friday.