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BBA may spin off Materials Technology
24/02/2005
BBA, the listed UK-based aviation services and technology group, could look to dispose of its Materials Technology business in the future, said the company's chief executive officer Roy McGlone. However, nothing to this effect has been initiated as yet. 'Down the road, we could refocus further; we are a public company and we have to review all of our options,' McGlone said when asked whether BBA would spin off Materials Technology. 'There has been speculation in the press that something might be happening... we do have two businesses that are completely different." During 2004, revenues at the Materials Technology business rose to £572m compared with £527m in 2003. Since end 2003, raw material costs have increased sharply, with prices at the highest level for several years. According to a BBA press statement, polypropylene, polyester and cotton prices reduced underlying profits by some £8m compared to 2003 figures.
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