Page last updated at 08:35 GMT, Tuesday, 9 September 2008 09:35 UK

UK sells remaining Qinetiq stake

Qinetiq advertisement
The MOD was accused of selling off Qinetiq too cheaply.

The government is selling its remaining stake in UK defence research firm Qinetiq, once part of the Ministry of Defence's technology development unit.

The MOD will dispose of almost 125 million shares, or 18.9% of the stock, with the price to be determined by the level of demand among investors.

But the government will retain its right to veto any deal contrary to UK defence and security interests.

The stake is worth 279m based on Monday's closing share price.

The MOD had been accused of selling off the firm to US private equity firm Carlyle in 2003 too cheaply.

Carlyle later made 370m when Qinetiq listed on the stock exchange in 2006.

On Tuesday, Qinetiq shares fell 7.9%, or 17.75 pence, to 205.75p.




SEE ALSO
Qinetiq buys US spy services firm
04 Aug 08 |  Business
MPs slate Qinetiq privatisation
10 Jun 08 |  Business
Defence site 'to lose 200 jobs'
17 Feb 08 |  Hereford/Worcs
US market boosts Qinetiq profits
28 Nov 07 |  Business
Qinetiq deal 'cost UK taxpayers'
23 Nov 07 |  Business

RELATED INTERNET LINKS
The BBC is not responsible for the content of external internet sites


FEATURES, VIEWS, ANALYSIS
Has China's housing bubble burst?
How the world's oldest clove tree defied an empire
Why Royal Ballet principal Sergei Polunin quit

BBC iD

Sign in

BBC navigation

Copyright © 2019 BBC. The BBC is not responsible for the content of external sites. Read more.

This page is best viewed in an up-to-date web browser with style sheets (CSS) enabled. While you will be able to view the content of this page in your current browser, you will not be able to get the full visual experience. Please consider upgrading your browser software or enabling style sheets (CSS) if you are able to do so.

Americas Africa Europe Middle East South Asia Asia Pacific