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A Scottish engineering giant has continued its strategy of disposing of its non-core assets by selling a Canadian industrial product distributor.

The Weir Group has sold Weir Process Equipment Canada to Wajax Income Fund for C$25.4 million (£13.5 million).

The proceeds from the deal will be used to develop its core operations and follows its sale of defence and nuclear specialist Strachan & Henshaw to Babcock International for £63.7 million in April.

Weir has stated that this does not end its interests in Canada as it will continue to invest in its service centre network that supports its oil & gas, power and mining activities in the country.

“Weir is focused on the supply of speciality equipment and services for the oil & gas, mining and power & industrial sectors,” chief executive Mark Selway said. “This transaction is consistent with our strategy to realise value from our non-core assets.”

Weir Process Equipment employs 125 people at 12 locations and recorded revenues of C$57 million (£30.4 million) last year.

Wajax is a diversified income fund that has three core distribution businesses engaged in the sale and after-sales parts and service support of mobile equipment, industrial components and power systems. It has a network of more than 100 branches across Canada serving natural resources, construction, transport, manufacturing, industrial processes and utilities markets.

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