Babcock, the FTSE-100 engineering support firm, has completed the previously announced sale of VT Services, the group's US defence business to VT Holdings, a special purpose vehicle.
The disposal was made for a cash consideration of $98.75m (around £61m).
VT Services, an engineering support and facilities management business, was acquired as part of Babcock's acquisition of VT Group in 2010, but following a strategic review it was decided the US defence operations did not meet Babcock's strategic objectives.
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The net proceeds of the disposal will be used to reduce the group's total net debt position.
Babcock's share price fell 1.59% to 868.50p by 12:03.
NR
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