Buying US defence

UK-based QinetiQ is to buy  McLean, VA-based Apogen Technologies in a $288 million deal. The US acquisition, which is subject to US regulatory approval, follows its purchase of Foster-Miller and Westar Defense and Aerospace in November 2004. QinetiQ has also signed a purchase agreement with technology development company Planning Systems this week for $42.0 million.

"US growth is central to our overall growth strategy," said Sir John Chisholm, QinetiQ's chief executive officer. "Our strategy in the US is to penetrate the defence and security markets by creating three operating businesses that reflect our three main routes to market - through the provision of ground-breaking technology, systems engineering and customer support, and information technology. Foster-Miller and Westar represent the first two businesses - and Apogen represents the third."

"Our US development from now on will be carried out principally through these companies, both by organic growth and through possible acquisition. This is illustrated by our acquisition this week of Planning Systems, a 350-strong technology development company based in Virginia, which will join Foster-Miller as part of the US technology business," he added.