After a day’s delay for the UK Ministry of Defense to verify that KBR was able to keep providing security to Devonport, the UK’s only refitting and refueling site for its nuclear submarines, and despite further wishes (link dead) of the Ministry to delay, HAL has put 20% of KBR, a subsidiary, up on the block.

The new stock started with an initial public offering of $17/share and opened this morning at $21, where for the moment it is pretty stable. Initial commentary at smartmoney.com is mixed: while KBR is a solid company, there is uncertainty as it competitively bids for the next set of LOGCAP contracts from the Department of Defense. The Democratic-controlled Congress will feature Representative Henry Waxman (D-CA) heading the Government Reform committee. Waxman has been a critic of Halliburton in the area where KBR was responsible.

This doesn’t affect me directly; I am part of the Energy Service group where HAL wishes to focus as its core business.