The transaction is expected to close by the end of 2009. The sale process follows a strategic review performed by the UK Atomic Energy Authority following passage of the Energy Act 2004.
Business Secretary Peter Mandelson, said:
“Today’s announcement is good news for UKAEA Limited and its employees. The sale will allow the company, as part of Babcock International, to continue its development and take advantage of new opportunities in the nuclear industry. It also generates good value for the tax payer.”
Chairman of the UK Atomic Energy Authority, Lady Judge, said:
“We are delighted to have agreed the sale of UKAEA Limited to Babcock International, which represents the culmination of the strategy initiated in 2004, following the introduction of the Energy Act that year.
“The new ownership structure will help give UKAEA Limited greater commercial focus on its operations, allowing it to capitalise on its core skills, strong track record and brand and I am confident that it will continue its growth in the UK and internationally under Babcock International’s ownership.”