Glasgow-based engineering firm Weir Group is selling two renewables operations as part of its on-going £100 million asset disposal programme.

The two businesses, American Hydro Corporation and Ynfiniti Engineering Services, are being sold for a combined total of £36.7m.

Both of the operations were part of the Flow Control division and generated revenues of £28m and £1.4m of operating profit last year. The sale is expected to be completed by the end of June.

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The Group stated it expected to record a £5m loss due to the disposal. However, it added net debt at the end of June would be lower than previous guidance.

In its trading update, Weir said: "The Group notes that trading in April and May was consistent with the trends seen in Q1 and in-line with expectations.

"Orders for the five months to the end of May were 15% below the prior year period (Q1: 21% lower) with orders and revenues in April and May slightly lower than the prior year.

"As a result, the Group remains on track to meet its prior guidance for first half profits, ahead of current market expectations."

(LM)