Submarine and ship parts maker mulls division sale

Engineer Goodwin is considering a defence and nuclear parts business sale.

The Stoke-on-Trent-based group is exploring a possible offloading of a “substantial part” of its mechanical engineering division.

The arm is a key supplier of components to UK and US frigate and submarine programmes, including Britain’s Dreadnought programme, which is building next-generation nuclear deterrent submarines and a fleet of advanced anti-submarine warships.

Goodwin says discussions are ongoing and that there is no certainty of a sale taking place.

A Financial Times report says several potential buyers with records in defence have expressed an interest in Goodwin over recent weeks.

The company was founded in 1883 and is majority owned and managed by the Goodwin family, while it has shares listed on the London Stock Exchange.

A company statement said: “The board confirms it has commenced a strategic review to consider a range of potential options to maximise value for shareholders, while ensuring continuity for all stakeholders, including customers, and the long-term prosperity of its businesses.

“These options include the potential sale of a substantial part of the mechanical engineering division, which includes GSC (Goodwin Steel Castings), GI (Goodwin International) and Noreva, Easat and Pumps.”

Goodwin Steel Castings and Goodwin International have particularly delivered a boost to the company’s profits, according to its latest annual report.

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