The Prime Minister has promised to "act in the UK national interest" regarding the hostile bid made by industrial turnaround specialist Melrose for centuries-old engineering firm GKN.
"Of course, the business department will be looking closely at, and has been following closely, the issue," May said in parliament today.
"I, and the government as a whole, will always act in the UK national interest."
Labour MP Jack Dromey raised the issue, saying the hostile takeover would lead to "break-up, sell-off, closures and redundancies".
"That would make a mockery of the Industrial Strategy," Dromey said.
GKN's management has repeatedly dismissed Melrose's bid, which would aim to "declutter" the business by selling smaller aerospace and driveline divisions, after first improving them.
However, the government has raised national security concerns over the bid because of GKN's involvement in making military aircraft. No official investigation has been launched, but it emerged last month that GKN's chairman Mike Turner was summoned to a meeting with Alex Chisholm, permanent secretary for the Department for Business, Energy and Industrial Strategy (Beis) after both firms met with Greg Clark, the secretary of state for business.