LONDON — BAE Systems has engaged external advisers to look at selling off part of its US-based information technology business, Europe's biggest defense contractor said Friday.

The company said in a statement that the move was had been prompted by external interest and a number of inquiries regarding acquiring the manpower and services business of the group's US intelligence and security sector (ISS).

As a result of the interest, the company said it has "engaged external advisers to support a strategic assessment of these businesses."

BAE doesn't break out its sales by business segment, but industry sources said they estimated the activities under review employ around 8,000 people and account for annual revenues of about US $1.75 billion.

A sale decision would likely see ISS dissolved and three of its four business sections exit BAE, said a second industry source said.

Those are: global analysis; global information technology solutions, which covers services, networking and other activities; and much of the integrated electronics and warfare systems business, would likely be divested said the source said.

A fourth sector covering geospatial intelligence would be retained and moved to the company's electronics business sector, he said.

No date has been put on completion of the assessment.

Morgan Stanley and Stone Key Partners have been appointed to undertake the review of the business.

The British-based company said the assessment would not take in the product-focused geospatial intelligence business or its cybersecurity activities.

BAE said there can be "no certainty that any transaction will occur."

Other service and support-based activities in the US naval and munitions sectors remain unaffected by the move.

Christopher P. Cavas in Washington contributed to this report

Andrew Chuter is the United Kingdom correspondent for Defense News.

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