Finmeccanica CEO Says Rival DRS Bid Possible

There could be a rival offer for U.S. defense firm DRS Technologies, more probably from a European company, the chief executive of bidder Finmeccanica told La Repubblica newspaper in an interview.

"There's always the chance that someone could decide to step in," Pierfrancesco Guarguaglini said in the interview, published in the newspaper's economy supplement on Monday.

"It's possible, not so much from an American company but from a European one," he added.

European aerospace and defense group EADS is likely to consider a counterbid for DRS on Monday, a source familiar with EADS's strategic thinking told Reuters on Friday.

Finmeccanica announced on May 13 it was offering to buy DRS for $3.94 billion, the biggest move so far in efforts being made by mainland European companies to grab a slice of the massive U.S. defense market.

European companies have been attracted to U.S. acquisitions as the euro climbs against the dollar, despite the turmoil in global financial markets.

Guarguaglini said that if it bought DRS Finmeccanica would be well-positioned globally but did not rule out looking at other deals.

"One could expect more, but now we are in a very good position in Italy, in the UK and in the United States ... and we can go ahead very well with this structure."