Dara employs nearly 4,000 staff at four main bases in England, Wales and Scotland, and has an annual turnover of almost £200m. Its future has been under review for several years, and in December Adam Ingram, the armed forces minister, told MPs there was no “strategic need” for it to remain in government hands.
Morgan Stanley will conduct a three-month “market-testing” exercise to gauge interest from potential buyers. An MoD spokesman said the study did not indicate any decision had been taken on Dara’s future. An announcement is not expected before the summer.
Defence-industry sources said Rolls-Royce and BAE Systems, the two leading British aerospace and defence groups, were unlikely to be interested in bidding to take over Dara.
But Carlisle, the American private-equity group,