LONDON Dec 21 British car and aeroplane parts
maker Meggitt said it had sold its defence unit to UK
firm QinetiQ for 57.5 million pounds ($71 million) in
cash, as part of a plan to focus on sectors where it has a
The unit, which provides unmanned aerial, naval and
land-based target systems to 40 different countries from bases
in Britain and Canada, is expected to make 5.5 million pounds of
operating profit this year, said QinetiQ.
QinetiQ added that the unit, called Meggitt Target Systems,
would help it to drive growth in international markets as it
generates 90 percent of its revenues outside the UK.
Meggitt said it agreed to pay 10.2 million pounds from the
sale proceeds into the company's pension plan to reduce its
($1 = 0.8083 pounds)
(Reporting by Sarah Young, Editing by Paul Sandle)