Meggitt secures Black Hawk contract

British aerospace engineering firm Meggitt plc (LON:MGGT) have secured a $21 million contract to supply fuel cell equipment for the UH-60 Black Hawk helicopter.

The 5 year deal has been agreed with the Defense Logistics Agency in Richmond Virginia and will mean the firm will supply the new equipment for the Black Hawks until the contract expires in 2022.

The new fuel cell equipment includes Meggitt’s self-sealing fuel tank, which prevents fuel spillage and greatly reduces the risk of fuel-related incidents during flight or survivable crashes.

“Meggitt is proud of the trust that DLA Richmond has once again placed in Meggitt to provide fuel cell equipment for the Black Hawk helicopter, underlining the exceptional performance record of our fuel cell technology, which is now present on virtually all US military helicopters,” said Stewart Watson, President of Meggitt Polymers & Composites.

Meggitt’s share price has rallied 2.54p or 0.46% since trading began this morning, up to 559.54p per share. Analysts from JP Morgan Cazenove have reiterated their ‘Overweight’ stance on the stock, while Berenberg analysts have upgraded their stance from ‘Hold’ to ‘Buy’.

 

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Jamie Gordon
Senior Journalist at the UK Investor Magazine. Also a contributing writer at the Investment Observer, UK Property Journal and UK Startup Magazine. Postgraduate of King's College London with a specialisation in Business Ethics. Interested in Development Economics and David Hume.