Wyle Laboratories is to acquire General Dynamics' aeronautics services business, virtually doubling the size of the company, which provides research, engineering and testing services to aerospace and defence manufacturers.

Formerly Calspan, the unit was part of GD's $1.5 billion acquisition of Veridian in 2003. Terms of the deal have not been revealed. Aeronautics Services, based in Lexington, Maryland, has annual sales of more than $220 million.

The acquisition will boost Wyle to more than 3,000 employees and annual revenues of around $450 million.

GD is disposing of Aeronautics Services because of conflict-of-interest issues that would prevent it bidding for US Department of Defense contracts. The unit provides research, development, test and evaluation services mainly to the US Navy.

Source: Flight International