QinetiQ has acquired Meggitt Defence Systems Ltd. and Meggitt Holdings Canada Inc. from Meggitt for £57.5 million on a cash-free, debt-free basis. Meggitt Target Systems is a leading international provider of unmanned aerial, naval and land-based target systems and services for test and evaluation and operational training and rehearsal. The business is expected to have generated approximately £28 million of revenue and approximately £5.5 million of operating profit in the year to 31 December 2016.
Meggitt Target Systems provides target systems to approximately 40 countries from its operations in the UK and Canada, and performs on-site target services in 15 of those countries. It will form part of QinetiQ’s new International business unit and will be reported within QinetiQ’s Global Products division.
Steve Wadey, QinetiQ CEO, said: “This acquisition accelerates the delivery of our strategic priorities to drive growth of our core capabilities in international markets, and to modernise and strengthen our ability to deliver world-class test and evaluation services.”
“Meggitt Target Systems is a distinctive business with a strong management team and employees in Canada and the UK who are experts in the development and delivery of unmanned target systems and services. We know the business well having worked together for the past decade and I am delighted to welcome the team to QinetiQ.”