Ultra Electronics faces corruption investigation by the Serious Fraud Office

Defence contractor says it is co-operating with the SFO

Ultra develops systems for warships (REUTERS)

The Serious Fraud Office (SFO) has opened a criminal investigation into London-listed firm Ultra Electronics over suspected corruption.

The inquiry into the defence contractor’s business in Algeria was launched after Ultra reported itself to the SFO.

Shares in Middlesex-based Ultra were down more than 8.5 per cent by mid-morning.

In a statement to the stock exchange on Thursday morning, Ultra said: “Given the stage of these matters, it is not possible to estimate reliably what effect the outcome of this matter may have on the group. The company will provide a further update as and when appropriate.”

The company said it “continues to co-operate with the SFO”.

The SFO said: “No further information can be provided at this time as the investigation is live.”