A report by Kuwaiti newspaper Al-Watan said last week that a consortium of Arabic companies was close to a deal to buy Textron, parent to Cessna Aircraft.
Today, the newspaper is reporting that the deal has been suspended, citing unnamed sources.
The action was taken because of the emergence of further losses suffered by Textron and possible political reservations that a non-U.S. company would own Textron, the report said.
In addition, it cited a “non-professional capacity” to dismantle Textron’s units and separate them by civil activity and military activity. The company would have to interpret that activity, it said.
Last week’s news that a deal was imminent sent Textron stock soaring. Shares jumped 49 percent that day.