Cobham awarded 165m-pound UK MoD contract extension

Cobham has been awarded a five-year base contract extension worth 165m pounds by the UK Ministry of Defence (MoD) for essential operational readiness training.

The group said that the contract, which has an anticipated value of £200m through to 2019, builds on a 25-year partnership with the Royal Navy and Royal Air Force, using Cobham's understanding of front-line needs and technology know-how to provide training to service personnel operating platforms such as the Eurofighter Typhoon and Type 45 Destroyer.

Commenting on the contract, Cobham Chief Executive Officer, Bob Murphy said: "We have successfully adapted our operational readiness training to meet the needs of the Armed Forces through to the end of 2019, using the extensive technology and know-how we have developed since the service was first introduced in the mid 1980s.

Try 6 free issues of MoneyWeek today

Get unparalleled financial insight, analysis and expert opinion you can profit from.

Start your trial

Sign up for MoneyWeek’s free twice-daily newsletter.

Join more than 165,000 subscribers and keep yourself informed with latest financial news, insights and expert analysis to help you understand what really matters when it comes to your finances.

Join more than 165,000 subscribers and keep yourself informed with latest financial news, insights and expert analysis to help you understand what really matters when it comes to your finances.

Sign up

"We look forward to further developing this highly effective partnership with the MoD."

Cobham's share price was down 1.92% to 281.70p at 08:18 on Thursday.

MF