Cobham to sell Parsons Corp

 
City A.M. Reporter
AEROSPACE electronics group Cobham said it agreed to sell its analytic solutions business to privately owned engineering firm Parsons Corp for $350m (£222m), five months after the British firm said it would look to shed two of its non-core units.

Cobham, whose equipment helps military vehicles such as F-35 fighter planes communicate with one another, expects the deal to hurt its earnings by about five per cent, and that it would gain about $20m after costs.

In May, Cobham had said it would look to sell its commercial systems and analytic solutions businesses.

“Changes to the US Government Organisational Conflict of Interest rules and the competitive intensity in its markets have diluted the strategic benefit to the group of owning this business,” Cobham said in a statement.

The analytic solutions unit provides a range of scientific, systems engineering and network centric warfare services to the US missile defence and national security markets.

For the six months ended 30 June, the analytics solutions business posted an operating profit of $13.8m on revenue of $144.3m.