10th Apr 2015 07:08
LONDON (Alliance News) - Imaging technology company OMG PLC on Friday said it has struck a USD25 million deal to sell its 2d3 defence software business to Insitu Inc, a subsidiary of US aerospace company Boeing Co.
OMG said it expects to make a USD16.4 million pretax profit on the sale and said it expects to pay a significant portion of the proceeds from the sale to shareholders via a special dividend.
It intends to use GBP5.1 million, around 45% of the net cash proceeds from the sale, to pay a special dividend of 4.5 pence per share.
The remainder will be used for general corporate purposes, including potential acquisitions.
"The sale of 2d3 does not change our Group strategy - it emboldens it. It strengthens the Group's already healthy cash resources and creates a revenue base that is smoother and more predictable moving forward," said OMG Chief Executive Nick Bolton.
OMG shares were up 17% to 48.00 pence in early trade, one of the best performers in the AIM All-Share.
By Sam Unsted; [email protected]; @SamUAtAlliance
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