Spirent offloads systems division

FTSE 250 technology firm Spirent Communications said it was selling off its systems division as it focuses on core markets.

The division, which trades as PG Drives Technology, is being sold to US engineering firm Curtiss-Wright Corporation for $64m in cash, with the deal expected to go through in October.

Spirent said net proceeds from the sale after tax and expenses would be around $61m and it planned to return the money to shareholders through a share buyback.

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PG is a designer and supplier of DC and AC controllers for specialist electric vehicle applications in the medical mobility and industrial markets.

In 2011, it reported revenues of $58m and profit before tax of $9m.

"This disposal demonstrates a further step forward in Spirent's strategy to focus the group's activities on the faster growing test and measurement market, allowing Spirent to concentrate on driving innovation and expanding the solutions portfolio of its core business," said Chief Executive Bill Burns.