1st Jul 2020 10:00
(Alliance News) -Â Meggitt PLC on Wednesday said it has sold its US subsidiary, Meggitt Training Systems, to Pine Island Capital Partners LLC, a US private investment firm, for USD146 million.
The sale completed on Tuesday and was subject to US regulatory approval, and followed a process which had commenced in 2019, the FTSE 250-listed aerospace and defence contractor said.
"The transaction is consistent with the group's strategy to focus on businesses of scale in markets where its leading positions offer greater potential for growth and operational efficiencies," Meggitt said.
Meggitt Training Systems generated sales of GBP104 million in 2019 and had gross assets of GBP149 million with profit attributable to the assets of GBP11.2 million.
"The net proceeds will be used by the group for general corporate purposes and will further strengthen the group's liquidity," the London-listed firm said.
Shares in Meggitt were up 2.4% at 301.30 pence in London on Wednesday.
By Lucy Heming;Â [email protected]
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