Chemring Group Plc - Disposal of Chemring Defence
CHEMRING GROUP PLC
Disposal of Chemring Defence
Chemring today announces the completion of the sale of its military pyrotechnics business Chemring Defence UK Limited ("CDUK") to PWD Group Limited ("PWD") for a nominal cash consideration. CDUK, located in Derby, manufactures military pyrotechnics that are primarily used for illumination, signaling, screening, battlefield simulation and training. In the year ended 31 October 2018, CDUK generated revenues of £11.8 million and an operating loss of £0.7 million. The business was treated as discontinued in the Group's 2018 financial statements and for the six months to 30 April 2019 was loss making.
A process to exit the Group's remaining commoditised energetics business in Florida is ongoing. The Group will provide further updates when appropriate.