1st Mar 2023 10:15
(Alliance News) - Babcock International Group PLC on Wednesday said it completed the sale of aerial emergency services businesses to Ancala Partners LLP for EUR136.2 million.
The London-based aerospace, defence and nuclear engineering services company said this concluded its portfolio alignment programme, which aimed to focus Babcock and reduce its complexity.
The disposal programme raised GBP570 million and also transferred lease obligations of about GBP340 million.
Following its completion, two-thirds of group revenue now comes from defence, Babcock said.
The aerial emergency businesses were part of Babcock's aviation sector, and provide medical, fire fighting, and search and rescue services.
Chief Executive Officer David Lockwood said: "We've done what we said we'd do at the start of our turnaround: we've strengthened the balance sheet and reduced complexity. Around two-thirds of the group is now focused on defence, and we are well positioned for future growth opportunities in our core markets. The AES and civil training businesses are both in good hands, and I wish their new owners every success in growing the businesses further."
Ancala Partners is an infrastructure investment manager based in London.
Babcock said the AES sale followed the sale of part of Babcock's civil training business to Inspirit Capital in early February.
Shares were up 1.0% at 331.56 pence each on Wednesday morning in London.
By Xindi Wei, Alliance News reporter
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