British military equipment maker Chemring (CHG.L) is to spend $90 million buying a business that supplies the U.S. military with devices for detecting chemical and biological threats.

Chemring said in a statement on Wednesday that it had agreed to buy the Detection Systems operations and other related assets from General Dynamics Corporation (GD.N) in a cash deal that will be funded through the issue of new shares.

Detection Systems, based in Charlotte, North Carolina, generated a pretax profit of $8.3 million last year on revenues of $61.5 million and the acquisition is expected to boost earnings at Chemring as of next year.

Chemring said the deal would enhance its existing operations supplying devices to detect improvised explosive devices (IEDs). As well as existing contracts to supply the U.S. military with vehicle-mounted biological and chemical agent detectors, Chemring said Detection Systems' other products include a stand-off explosives detector and hand-held chemical detector.